The lender valuing that asset is a conflict of interest.
The lender as trustee, manipulating that asset to destroy its value is a breach of trust.This isn't logic at all, it's hopeless idealism. If you think for one second that a lender doesn't know the approximate value of a collateral item and price his money accordingly, you're dreaming.
Get with the concept - the important thing here isn't the money being loaned, but that the loan itself is a commodity that is being sold. The borrower is buying the opportunity to obtain the money for a certain amount of time. The seller of the opportunity sets his own price, regardless of whether someone else values it higher or lower. The buyer/borrower can accept or decline the terms. There's no such thing as a third party to a loan, except in an ancillary role as witness.The lender valuing that asset is a conflict of interest.A property purchase is a transaction between the owner of a property and a buyer.
Finance of the sale is usually offered by a third party, who will hold title to the property in TRUST until the loan they finance, is repaid.
The lender, DOES NOT own the property being financed.
This small but vital aspect of home purchase finance has been overlooked recently.
It remains the underlying basis and fact of property purchase financing.
The Lender DOES NOT OWN THE PROPERTY.
Finance people think a certain way. They do not operate in the common interest. That is fact of business. They are subject to law, legal process and financial accountability. Trustees hold a responsibity to defend the value of the home buyers asset. The agreement between the lender and buyer allows them to treat the property as an asset, the assumption being one of common interest between the property buyer and the lender. A twisted mind decided it would be terrific to unlock the value of housing markets by getting lenders to trade these 'assets held in trust' as commodities. They are not commodities. They are peoples homes. Even so, with responsible behaviour and proper control, this is a very good idea. In practise it has been turned into a game of Casino and Governments and taxpayers are picking up the tab for a game of roulette which was rigged from the very start by criminal minds who realised the potential for profits unlimited from chaotic market trading of unregulated Financial Trading Derivative contracts.
How in the name of God does anyone think that Hedge Funds are able to maintain "earnings per share target of 10 percent and return on equity of 13 percent.''
Finance is a service, it does not make the world go around.
It attracts the most unreasonable and obnoxious and unscrupulous people on earth. The derivatives that are causing the huge headache with Banks are going to continue for the next 7 to 10 years. That is the contract term of them. The Banks are not writing these things off........... they are writing them down.
When it suits them - they will be written back up again. It is a huge multi- Trillion dollar CON.
writedown
A reduction in the value of an asset carried on a firm's financial statements.
For example, the firm's accountants, believing the inventory is overvalued,
may decide to take a writedown by reducing inventory valuation.
Unlike a writeoff, a writedown does not result in elimination of the asset.
Property values, as opposed to sale price, cannot be allowed to fluctuate.
That they can is a lie. Current property value is constant and defined by Insurance Rebuild cost.
The whole thing going on now is a conceptual CON that destroys economies and leads to wars.
It is a flawed and illegal process.
Property Value has nothing to do with the price it sells for.
I shidt you not!
mireland
02-04-2009, 08:34 PM
more toilet paper material..:D
werz
02-04-2009, 11:03 PM
It remains the underlying basis and fact of property purchase financing.
The Lender DOES NOT OWN THE PROPERTY.
In practise it has been turned into a game of Casino and Governments and taxpayers are picking up the tab for a game of roulette which was rigged from the very start by criminal minds who realised the potential for profits unlimited from chaotic market trading of unregulated Financial Trading Derivative contracts.
what?
This isn't logic at allYou can say that again.
Surely it could be written in a way that makes it easier to understand.
herosrest
02-05-2009, 02:58 AM
more toilet paper material..:Dwhat?
You can say that again.
Surely it could be written in a way that makes it easier to understand.
Certainly Gents. PULL & wipe. Simple really. Childs play. :t
herosrest
02-05-2009, 02:41 PM
Brought down the sheet to current and Written UP! :D - Click to inflate this dormant - 'WRITE DOWN' (http://www.sysopt.com/forum/showpost.php?p=1465870&postcount=1)
I do not imply that Banks etc, lend in bad faith or ill will. However, the means of trading loans as commodities is wide open to abuse by anyone bright enough to properly understand their accounting process and worth, to a Business balance sheet. Where the problem lies is in the concept of commodities.
If property is traded as a commodity which fluctuates in price - it's asset value is 'ALLOWED' to be destroyed by a party with no interest or responsibilty to the lenders obligation as a Trustee of the property. Two concepts of business have collided and there is a HUGE problem.
lnsurance rebuild value HAS to be, the ACCOUNTING VALUE of the property as contracted by the lender and any traders. If this simple accounting rule change is not made - the system of derivative financing is wide open to total abuse. It is happening and has been for some time. Traders' values fluctuate - that is the name of their game. The accounting rules which apply to traders, destroy value in the property market at will, whenever a trading business runs into loss or difficulty they write down values. It is a corrupt process. It is an irresponsible practise. A trader will defend their position. They are wrong.
Witness the current financial problems which are still not properly understood.
A property purchase is not a commodity trade. The loan is.
Traders..... deal makers, the Barrow Boys - have got their hands on the property market and are raping it.
They will tell you all day long that those fins on their back are an illusion and get away with it.
Sharks are harpooning whales.
How do you think the Hedge Funds are turning those pretty pennies.
It ain't the TAX dodges doing it.
People sign up for 25 years for this rubbish.. no funckin WAY! Lock them up! - with Insurance rebuild values.
herosrest
02-05-2009, 03:24 PM
The issue is not an argument in ways of doing things or points of view. The issue is one of abuse and decency. Home owners are being abused. How many of them are there. The penny WILL drop.
herosrest
02-06-2009, 01:27 AM
There ya go - A WiKi on CDO's (http://en.wikipedia.org/wiki/Collateralized_debt_obligation) - Rather well done and more than any reasonable person will browse.
Gobbledygook (http://en.wikipedia.org/wiki/Gobbledygook) from Dr. Mumbo Jumbo (http://en.wikipedia.org/wiki/Mumbo_Jumbo_(phrase)). An interesting read for a minority.
The reason a mess exists is this - Mumbo Jumbo (http://en.wikipedia.org/wiki/Mumbo_Jumbo_(phrase)) method of assigning a value. Accounting or actually more accountology.
lt is pure and utter bollox. - Mark-to-market accounting (http://en.wikipedia.org/wiki/Mark-to-market)
The entire system of trading is a very basic spread bet. This is because all (yes 100%) of CDO's will default. That is their inherent nature. What people do not get or advertise is that they are an insurance. You, l and every other bugger on the planet is picking up the tab to the tune of Trillions. Now here is some no-brainer logic that has escaped everyone with the remotest responsibilty for CDO's.
Help the borrower meet payments and there is NO risk. There is no DEFAULT.
herosrest
02-06-2009, 11:24 AM
The practice of mark to market as an accounting device first developed among traders on futures exchanges in the 19th century. It was not until the 1980s that the practice spread to big banks and corporations far from the traditional exchange trading pits, and beginning in the 1990s, mark-to-market accounting began to give rise to scandals.
beginning in the 1990s, mark-to-market accounting began to give rise to scandals. "Mark to market" (http://en.wikipedia.org/wiki/Mark-to-market)
herosrest
02-07-2009, 05:33 AM
_Chaos is not all it promises. Human reaction during chaos is predictable through experience.
Chaos breeds stress, worry, indecision and herding.
People combine and amplify doubt. Need i go on..................... why not, eh?
Situations and circumstances of chaos can be brought about by design. Chaos can be designed. Such capability is of limited intent and ironic in focus. Enabling chaos for specific limited goals is a very well understood practise. Surprisingly though, there are always unpredictable unforseen residual dominants.
Post chaotic torpor is a release as people escape chaos when a system or routine stabilises.
This time around - the designed economic chaos of recent years sucked big time...
Yup - it wasn't REAL chaos. Call that chaos, ya wimps.
Stand aside..... watch now, Growth stood still - Money doubled - credit doubled - RoI doubled - RoE doubled - Profit doubled - Pay halved - Property value halfed
(yet to fully materialise itself) and
wonder of wonder Small and medium sized Hedge Funds exploded,
blossoming levels of return neither chaotic or unplanned.
They will now perform the impossible.
Completing the 'two stage' Union that is mark-to-market property re-valuation write down.
Double and double down though in practise double down occurs first.
Those of you still roiling through this text will be realising by now that ice does melt - given long enough. _
herosrest
02-07-2009, 05:48 AM
_THE POINT OF IT ALL.
Controlled deflation and insurance against trading losses.
Market place, risk based trading - without risk.
Real wealth does not deflate unless it is squandered. Incredibly the wealth of recent years was not squandered. So where has it all gone, eh?
Work that one out - 'bet' ya can't. :p
_
herosrest
02-07-2009, 06:13 AM
_THOUGHT FOR THE DAY. ;)
EVEN GENII (plural :-@ ) get caught out only half way to the s*itter!
"One RULE to rule them all!" - A. Hobbit_
herosrest
02-07-2009, 06:45 AM
_On a very much brighter note - now,
What is it all about, if - you can't have a good old laugh at a bunch of daft, drunken idiots
who loose several trillion dollars and lunch and get away with it. SMILE.
Y'az got to laugh at that one. :D All their own work. Titter.
What do you call a drunken CEO? - Responsible. :D:D:p
_
herosrest
02-07-2009, 11:14 AM
_In providing a loan for property, all lenders require a valuation of the property.
It is based upon the cost of rebuilding that property.
That valuation is a true assessment of the cost of rebuilding TODAY. Very logically - that is the value of the property. This will not be the price agreed between seller and buyer but that valuation forms the basis of an arrangement of TRUST between the buyer and lender. Regardless of interest in property value, any dealing or valuation unfairly representing or adjusting the contracted valuation is a breach of trust. Market conditions cannot ever apply to lenders valuations of a property which they hold in trust. They do not own it. How ever it is done, they act against the interest of the buyer - breaching trust. It is impossible to abrogate this aspect of the loan. The property is insured, by the buyer, to rebuild the property as required by the lender. The required valuation forms the basis of trust and sets the property's value.
Prices paid for property may or may not reflect that valuation. That property sells for more or less than this valuation is a matter for the owner not the lender. The lender holds a defined right to the property. That is called TRUST. They do not own the property and may not act against the owners interest. Any business trading property assets which are in trust must adhere to the lenders insurance rebuild valuation which is constant and not subject to markets. This is because regardless of all factors and argument - the property will cost that amount to rebuild. The rebuild insurance valuation is defined in contract by the lender.
Whilst this may be a headache for market traders to grasp, it is a fact of business they must adopt today, post haste. Derivative trading has destroyed contracted property valuation and this must be undone. The Rebuild Insurance valuation must be the basis of fair market valuation and 'mark-to-market' junked for the total load of bollox that it is. The implications of the rule changes are straight forward. Every body wins. No losers unless bad or illegal practise has taken place or is INTENDED.
Mark-to-market valuations must cease. Fair value must be insurance rebuild.
No more spivs! Please. This argument is central to several important legal actions which are underway. It is very simple to change these rules now rather than face the certainty of legal decisions. Third and fourth parties do not have right to adjust Lenders valuations made in contract of trust - simply because they can mumbo jumbo the hind legs off a pogo stick to sell marbles in Zamboanga carries no weight or legitamacy. Mark-to-market is a charter to defraud. It must end.
So, eyes front, chins out.............. lets put stocks and shares on an unending upward march that can only falter upon poor performance. Prices will set records by the minute climbing through the roof. The underlying economy will be set in......... concrete :p ;) fueled by skilled endevour and not the mumbo jumb0 accountants have come to love. Bottom line, l say. Bottom line. If you cannot believe or understand this proposition - do not worry. Just believe, it makes things so much simpler and has kept christianity going some 2,000 years.
Write downs get written up - not off. THIS IS A STUPID LINK (http://www.sysopt.com/forum/showpost.php?p=1466163&postcount=15) (url) - do not click it._ :t
mireland
02-07-2009, 11:22 AM
:rolleyes:
herosrest
02-07-2009, 11:40 AM
Did ya get a response to your e-mail yet?
herosrest
02-07-2009, 12:50 PM
_ CLICK (http://www.sysopt.com/forum/showpost.php?p=1466185&postcount=16) Now - Traders and their accountants and.. the WuRu's they worship (WuRu - Wizard Guru - ie Prats) and their feeding chain of Bonus (http://parrots4parties.com/images/prop-party/gallows.jpg) will deploy books and reams of trading charter qualifying their position.
It is mumbo jumbo - bend them to over. They need to be spanked! HARD. :x
They are wrong - in fact, law (http://www.timesonline.co.uk/multimedia/archive/00472/Auction_hammer_185x_472593a.jpg), practise and principal.
Trade wind - passed by accountants adjusting bottom lines.
The practice of mark to market as an accounting device first developed among traders on futures exchanges in the 19th century. It was not until the 1980s that the practice spread to big banks and corporations far from the traditional exchange trading pits, and beginning in the 1990s, mark-to-market accounting began to give rise to scandals.
_[/COLOR]
herosrest
02-07-2009, 01:02 PM
If you use someone's wealth to underwrite your business - you reward them
Not rob them blind.
If you use someone's wealth to underwrite your business - you reward them
Not rob them blind.
It is quite a good idea also - to know what you are doing.
These guys did (http://tbn0.google.com/images?q=tbn:mKBQ5_ubPowMUM:http://www.hurleypalmerflatt.com/images/UBS.jpg) and skipped off all around the world.
Probably worked at a firm near you before the brown stuff started flying about. Watch the write downs - never forget them. They have a funny habit of coming back to life in some one elses hands. Like hidden assets in a busted bank.
Written down - not written off. 0 zero value still on the books - till DR. Mumbo Jumbo drops in.
herosrest
02-07-2009, 01:45 PM
Puzzle - Alpine Sun. Frequents high places and covers your back.
04-26-2008, 03:30 PM (http://www.sysopt.com/forum/showpost.php?p=1443658&postcount=9) I posted the item linked. It was part of this topic. Click (http://www.sysopt.com/forum/showthread.php?t=200648).
"eg
____Figures indicate that total production is increasing. Hoorah.
Unfortunately the numbers include Liquid gas - which is where the actual increasing production is taking place.
Try running yer motor on liquid gas. Boo.
So the data is misleading - like just about everything in modern day life. :p Hohum."
During 6 months - oil price doubled - April toOctober. It was a sting. It is possible now, to discern where the money went and therefore what went on.
This is not the case with VAST sums being pumped into banks and institutions. Defaulting home loan borrowers have not caused this size of damage. So...... wad is occuring. Well, suprise, surprise. Di nada - all that lovely huge dosh is nowhere to be seen. How can that be so? What goes in must come out. That is a basic reproductory. l pointed out my hatred for gamblers previously. Scum of the earth they are. Spreading risk is a highly specialised, totally professional skill developed by experienced and capable lnsurers who can during good years prove themselves the most valuable individuals alive. It's a game but they know what they are doing. Everyone of us relies on them and trusts them such that their reward is supreme. Some Morons have programmed theory and sold it as software which no-one understood. This was not a public mistake and the markets should be left to sort out the mess they made - however painful.
People who knew - saw this coming and are minting it.
This is what the banks took up and didn't even half-bake. They have been conned and are being robbed. There is no disaster of failure equal to the sums of money being pushed out. As sure as God made li'l green apples there are multiple claims spread across continents. This was risk aversion (Insurance) gone insane. Risk taking is an art, it attracts gamblers who are addicts and have no control. These derivates are part of the Pension and Savings industry portfolio's and they need to talk up.
We made a li'l cockup - so sorry - help us out for the next 10 years 'cos everyone of us is to embarrased to own up.
Say sorry to who ever is at the end of this pig trough and tell them to sue.
It's time to let those balls drop and get real.... or explain!
Nothing can be done, is childish. Forget about is pathetic. They took the money now pay up - no - renegotiate or stick up the burd - cos 10 years of this will bankrupt everyone for one persons foolishness. There's family and the there's family. You took the money not everyone else. That's the market, remember. It's a jungle.
Cloaked in gobbledeegook unless you already knew - buried in early reports, as the IMF realised the nature and scale of this event - is vague reference to requirements to upgrade and improve methods and controls of 'RISK ASSESSMENT' - the software was ****.
The people using - also belong on the wet end of loo paper.
ooh here's a machine to do it all. Feet up. SMILE look busy - god l hope it's a big bonus this year, just the thought turns me on. Woops....... nodded off.
herosrest
02-07-2009, 05:46 PM
Think Tools AG was a Swiss IT company that characterized the dot com bubble in Europe. The company was founded by the philosopher Albrecht von Müller as a consultancy company in 1993. The company developed tools for supporting corporate problem solving. Klaus Martin Schwab is a Swiss economist and businessman, best known as the president and founder of the World Economic Forum (DAVOS). Schwab participated in the controversial Swiss IT company Think Tools AG as its vice chairman of the advisory board and as a shareholder through World Communications Development. He resigned from the vice chairman post after the first controversies about the company emerged. Professor Schwab is entering the history books having stated that 'the current situation was a perfect example of where banks could take the lead and devise a system of self-regulation,................'
Don't worry hero, PM Putin knows what's going on he'll put the socialist Brits and Americans back on the right track.
http://online.wsj.com/article/SB123317069332125243.html?mod=googlenews_wsj
herosrest
02-10-2009, 07:24 PM
There is wishful thinking, by those who should know better, that the economic problems will turn around - a nasty little blip.
That is not going to happen because a financially powerful and motivated component of modern economics is 'able' to profit massively
by devaluing assets and then gobbling them up on the cheap.
Accounting practise allows this theft to occur and Politicians need to wake up to it.
It will end their careers and dreams in derision.
They have power and must use it to prevent theft.
herosrest
02-10-2009, 10:57 PM
An interesting and provocative argument is transparency.
Very, very much an issue of double standards in the ;) of an eye type way.
What might be the fiscal and behavioural effect for Tax Revenue - of strict (even penal) requirements and 'enforcement', of disclosure of funds invested globally, their returns, bonus, business profit and tax concessions and allowance and movement.
A review and analysis of the 'savings and surpluses' investment business could settle the issue of efficient return on savings. Are hedge Funds and 'Off Shore' savings actually an effective, efficient, worthwhile endevour or an over hyped, advantage taking system of scam as scam can? Who knows? - salesmen do - but again and again, best advice is do not take them at their word. No one likes the tax-man, right or wrong, he is doing the world big favours right now.
herosrest
02-12-2009, 04:56 AM
It should be very interesting to government economists that Private equity is looking for 30+% devaluations before realistic consideration of joint venture into the credit housing and property markets. 30% is in honesty optimistic and already exists.The property loans market has in some rather mysterious way coupled itself to the entire property market rather than the portion which requires re-finance. Its funny how people don't think stuff through. Well not all of them, anyway.
10% earnings per share - 13% RoE - that's the plan......... with a very, very, very conservative fund manager. Lets see....... 25% - per year if you invest with them. Although of course there will be fees, like maybe 20 of yours % up front, remember this is a conservative rig. They will fly 1st class rather than buy Lear Jets.
So. A needle pulling thread. How in the name of THoR is a mortgage deal going to make returns to this type of investor. Obviously it wont. Unless they borrow against the loan value and or the property itself. This type of financing is called...... wait for it - LEVERAGING. Which should ring a few bells.
Begging many questions - Top of the list is WHO sold everybody out and who in their tiny mind considers it worth a nosewipes worth of attention. Conmen at work. Big TIME> MAYBE IF I SHOUT A LI'L - I'll go hoarse - like the ah's letting this take place. A big Hedge Fund bubble is trying to survive by making an even bigger one.
_An interesting and provocative argument is transparency.
What might be the fiscal and behavioural effect for Tax Revenue - of strict (even penal) requirements, of disclosure of funds invested globally, their returns, bonus, business profit and tax concessions and allowance and movement.
A review and analysis of the 'savings and surpluses' investment business could settle the issue of efficient return on savings. Are hedge Funds and 'Off Shore' savings actually an effective, efficient, worthwhile endevour or an over hyped, advantage taking system of scam as scam can? Who knows - salesmen do - but again and again, best advice is do not take them at their word. No one likes the tax-man, rightly or wrongly, he is doing the world big favours right now. _
herosrest
02-12-2009, 05:27 AM
The Madoff fraud's' are a test. Until it is understood, others will continue it.
It is an accounting trick. Defended with Mumbo Jumbo or silence.
All that that happened was a couple of his larger investors were strapped for cash and asked him to cough up 500m or so from the 50Billion.
werz
02-12-2009, 02:33 PM
So how much did Madoff personally make from the 50billion?
Do they know?
Is he's claiming he made nothing?
Are the properties in his missus name?
Did he siphon some of it off to a bank in Israel?
Tell us hero, where did all the money go?
herosrest
02-12-2009, 04:07 PM
Don't worry hero, PM Putin knows what's going on he'll put the socialist Brits and Americans back on the right track.
http://online.wsj.com/article/SB123317069332125243.html?mod=googlenews_wsj
Putins Davos speach is not a bad assessment. My preference is for 'Black Hole' rather than perfect storm. That is because some whacked out economists actually did use the black hole algorithms to produce our financial accounting software that is used by the banks. :D Really. They have - and it all runs on a laptop, usually a secretaries. What ever next.
Interestingly enough, modern Socialism is the practise of Western nations. There is no other way to regard the current huge financing of Banking by the state. l hope that the modern day moves away from confrontation towards rivalry continue - it is so much healthier.
Putin is a pragmatist, running a very large nation which has some difficult problems with resources and ethnic population. Russians are incredibly proud people. He is also an experienced elder statesman who knows the score. Ultimately, if he were to put his foot down in anger, grief or temper the consequence could be unimaginable. I don't doubt for a second that he and Obama have already introduced themselves. :rolleyes:
Putins Davos speech is not a bad assessment. My preference is for 'Black Hole' rather then perfect storm. That is because some whacked out economists actually did use the black hole algorithms to produce financial accounting software that is used by our banks. :D Really. They have - it all runs on a laptop, usually a secretaries. What ever next.
herosrest
02-12-2009, 04:26 PM
So how much did Madoff personally make from the 50billion?
Do they know?
Is he's claiming he made nothing?
Are the properties in his missus name?
Did he siphon some of it off to a bank in Israel?
Tell us hero, where did all the money go?
There is a significance of the mystery - he made nothing and actually isn't interested in his own wealth. He is Messiah bringing new order to his brethren and flock - (put, sell and divest). Seagulls love him. His wife and brother are Angels and 25% annual returns on investment are Jehova's blessing. He believes we will all eventually see the light and realise that bubble economics is the way to go and property valuation the god given rite of market traders. He is a Con T and should be exported. He wouldn't know a Ponzi scheme if he was making a living from it or passed one after dinner.
NASDAQ my ahse! :D Living proof that our dumbest are the best!
Everybody knows where the money went. To Charity and the Ballet.
Apple are lining him up to promote their new line. i-pump
Did JPM Cause Bernie Madoff’s Ponzi To Collapse?
These days you have to be a genius to be dumb.
The art of leveraging. Ultimately fatal.
It is incredible that this type of loss making can occur in USA and no one is dead yet.
http://i243.photobucket.com/albums/ff3/freakyjohn101/grim_reaper.jpg (http://www.businessinsider.com/2009/1/did-jpm-cause-bernie-madoffs-ponzi-to-collapse)
SwissRe investment from Warren Buffett. Deutsche Bank and Zurich Financial further problems?
But all eyes are on Bank of America. Is the ship sinking? (http://philsbackupsite.wordpress.com/2009/02/05/wall-street-demonized/)
herosrest
02-12-2009, 05:10 PM
Yay! Though.......
Before this aberration of high Tech finance and 'Invest for Theft' innovation stabilizes in oblivion
Many, many, many, of the finest and best 'will' be
doin' serious holiday time in penal fortitude.
http://www.steeldoorsdove.co.uk/i/psd/DOVE%20Prison%20Cell%20Door%20sm.jpg (http://pro.corbis.com/images/42-18736380.jpg?size=572&uid={51b2592c-8be1-40b0-9931-a2d53ace2309})
Very much deeper and quite pro found. Ooooh look a rats tail. Ha! there are the back feet...... and omg....
herosrest
02-16-2009, 02:49 AM
Someone saying the entire US property market was distressed or defaulting would be laughed off court.
Yet, that is how every property, the whole lot, are valued and priced.
Then you get this plonker at the back whistling 'ability to pay'.
Throw him an egg to suck, will ya!
It might be time someone pointed this out. Loudly and with the end of their boots!
herosrest
02-16-2009, 03:03 AM
It is a li'l too late to be resetting asset class flags - dont you think!
herosrest
02-16-2009, 03:39 AM
A rare, enjoyable, headache as stock values adjust - upwards by..................... hmmmmm.......... lots and lots and lots. :rolleyes:
j.m@talk
02-16-2009, 06:12 AM
Go see the Doc Ero' ........ Ya loosin it ........ Another Plotless Billy ? ..... Me finks so :t
mireland
02-16-2009, 06:44 AM
I'd say he's lost the plot...but he never had it to begin with...:rolleyes:
herosrest
02-16-2009, 12:37 PM
_
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチ
Not me losing the plot, lads. The scripts of Business Logic have been re-written and then manipulated beyond commonsense. This is not a brave new world that has emerged but a street market Bazaar of back handers, largesse and plain simple economic lunacy.
A plain simple mistake is being carried on and no one see's it. When they do - it will be ignored!
That error is profound and deadly to economies.
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチ
If UK mortgage lenders believe they have secured enough capital to tide themselves through a recession, they had better think again. A look at the residential property derivatives market suggests house prices have very far indeed to tumble before they reach their expected trough. Since peaking in August 2007, when the average house sold for £201,081, prices have fallen 16.4 per cent, reaching £168,158 at the end of October. Two-year derivatives contracts are now pointing to a further fall of a third to about £113,000. This implied 44 per cent peak-to-trough decline would wipe out all gains since the summer of 2002, leaving several million households with negative equity. It is Utter bollox!
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチ
_
_
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチ
Chicken and egg, or Goose in this case. Which existed first - value or earnings from that value.
The entire property Market is valued as Distressed.
Which it is not or was not - until the accountants got to work.
It is an almighty screw-up!
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチ
It should be perfectly clear to even the dumbest mouse that valuations, "INCORRECTLY" deflating a housing market by 30% rather than a troubled sector within that market is utter folly and unprincipled and wrong.
It is an error of logic. An illogical error. A Fatal Error. A mistake.
The value has been taken away not squandered, bad invested or abused - it has been 'vanished' by an accounting error.
The equivalent of Trillions of value per day because an adjustment to distressed property value has been applied across the board affecting every property.
What did everyone think was going to happen?
Reduced property values devastates credit markets. Credit Markets are devatated.
Leveraged Finance drains the current account. National current accounts are devastated.
Economy's are shrinking by factors equivalent to the revaluation of property.
navy]The property revaluation is conceptually wrong. Only a sector of the property market was over priced yet the adjustment was universal.
Market cap measures size equal to the share price times outstanding shares. Owning stock represents opinion of net worth and is a determining factor in stock valuation. Capitalization of all publicly traded companies in the world was US$51.2 trillion in January 2007 and rose as high as US$57.5 trillion in May 2008 before dropping below US$50 trillion in August 2008 and slightly above US$40 trillion in September 2008. It is a direct function of Market Value which is deflating (erroneously) and s already priced into by the equations. Cap is a function of value BUT pre-empting it.
1. The use of various financial instruments or borrowed capital, such as margin, to increase the potential return of an investment.
2. The amount of debt used to finance a firm's assets. A firm with significantly more debt than equity is considered to be highly leveraged.
http://www.answers.com/topic/leverage
Wiping out 30% of Home asset value is reflected directly in 30% stock market falls of the last 12 months.
This was an error. A simple mistake of procedure.
The stock Market valuations have already priced in the deflation. It is endemic to the system of trading, is aan error (mistake) and totally ridiculous (a load of bollox). Problems experienced now are the symptom of the Incorrect Property Value devaluation and not the Financial credit problems which are a result of Leveraged Finance Investment Returns. Both the Property valuation error and Leveraged Finance returns are squeezing vast amounts out of the current account and the economy is stalling.
The Property Valuation deflation is a plain simple system error.
Leveraged Finance returns are daylight robbery and have crippled the banks.
National current accounts have a very large hole in their purse and it is only going to get bigger and bigger until the property valuation concept is amended or the world goes bust. Going bust will happen very, very quickly if things carry on as they are. A huge Leveraged Finance bubble was bursting and that 'Industry' (for want of a better word) is fighting to survive. This should not be allowed to happen.
Those in the know, today, have been guided to a view that economic probbies are ugly, painful and long term. It is as big a con as the motives or the deflation which is prime now. Albeit perhaps accidental, assuredly the biggest cock up ever. Is accelerating to leave no value. Anywhere.
Investing on margin isn't necessarily gambling. But you can draw some parallels between margin trading and the casino. Margin is a high-risk strategy that can yield a huge profit if executed correctly. The dark side of margin is that you can lose your shirt and any other assets you're wearing. One of the only things riskier than investing on margin is investing on margin without understanding what you're doing. - CLICK (http://www.investopedia.com/university/margin/?partner=answers)
"About half of all purchases made by consumers last year were made with cash," Mark Beccue of ABI told Contactless News. - CLICK (http://news.bbc.co.uk/1/hi/business/7876154.stm)
The CBI says that the economy will contract by 3.3% this year (http://news.bbc.co.uk/1/hi/business/7891514.stm), compared with its previous forecast in November that it would shrink by 1.7%.
The matter is as subtle as this problem. Which end does the horse go? PUZZLE - CLICK (http://chestofbooks.com/reference/The-Domestic-Encyclopaedia-Vol1/images/Irish-Cart.png)
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチ
THIS IS THE STORY OF THE CENTURY.
AS CUSTER AND LITTLE BIG HORN WAS IN 19TH CENTURY
IT WILL BREAK - IT WILL GO HUGE
IT WILL DESTROY REPUTATIONS, CAREERS, CREDIBILITY AND PERSONAL FREEDOM. http://www.google.com/images?q=tbn:zh5C43dbivZwUM::www.alcatraz.cc/images/500/Alcatraz_prison_cell.jpg
§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§
Situations and circumstances of chaos can be brought
about by design. Chaos can be designed. Such capability
is of limited intent and ironic in focus. Enabling chaos for
specific limited goals is a very well understood practise.
Surprisingly though, there are always unpredictable
unforseen residual dominants. Post chaotic torpor is
a release as people escape chaos when a system or
routine stabilises. This time around - the designed
economic chaos of recent years sucked big time...
Yup - it wasn't REAL chaos. Call that chaos, ya wimps.
Stand aside..... watch now....................................... and run for the hills. RATS HONOUR!
§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§§ (http://www.sysopt.com/forum/showpost.php?p=1466159&postcount=12)
j.m@talk
02-16-2009, 02:31 PM
Ya canne beat a bitta Chaos :t
mireland
02-16-2009, 02:52 PM
I like sarah palin, pie and pudding. :rolleyes:
herosrest
02-16-2009, 03:05 PM
_
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If you are a home owner and that home is not for sale, the property is worth the valuation made under Insurance to Rebuild. That is the basis of your contracted loan. That valuation and insurance YOU PAY will rebuild the property TODAY at todays prices. If you are not selling your home, it is not affected in any which way by market conditions. How can it be.
Accountants and Finance people believe property is worth considerably less today than a year ago. Massive amounts less. They are dick-heads. Rich ones maybe but dick head's none the less. The way they think is for their business interest, which is trading. They are self serving and devaluing your property is disadvantaging you, mightily AND HELPING THEM MASSIVELY - TO PROFIT. Were that disadvantage to you legitimate, well...... life can suck. It is not a legitimate dealing and you should be having quiet words with people who are ruining your wealth and lives with deceit. Why are they doing it......... Guess?
They screwed up their business and expect you to pay and suffer to correct their mess and save their wealth. I believe that concept is understood to be SOCIALISM. COMMUNISM
They will say this is all rubbish. It isn't. They are full of it - Mumbo Jumbo.
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..
werz
02-16-2009, 03:21 PM
Please explain what derivatives are again hero?
The simple explanation please.
herosrest
02-16-2009, 03:26 PM
Insurance.
werz
02-16-2009, 03:39 PM
Insurance.
What did they insure?
herosrest
02-16-2009, 03:44 PM
Profits.
werz
02-16-2009, 03:51 PM
Profits.
How do you insure profits you haven't made yet?
Can you give me an example?
herosrest
02-16-2009, 03:59 PM
Futures. That and planting a few shrubs. They'll make a nice Hedge.
herosrest
02-16-2009, 04:15 PM
Traders work of and in margins. They are loose and think on their feet.
The best of them are truely skilled genius. Those are very rare. Modern day - they punch buttons, trust software and are as thick as bricks - volume = bonus.
Financials and Bankers, a majority of Investment professionals, understand risk and caution and are prudent.
Guess who runs the modern day show! and resultant disasters and don't know how to fix anything 'cos they don't know anything.
The Insurance rebuild valuation of property is the legal basis and framework of all homeloans. It is the legal concept, an act of trust, around which the home owner and lender do business. It is an unconditional valuation. The home loan contract is not a product of Market Forces. It is a strictly biased and focused piece of law guaranteeing lenders risk in respect their loan. The valuation indicates a property's value, by law. No way around it - Mumbo Jumbo market rules all you like - they are rubbish and do not apply to any aspect of valuing the home, other than contract terms. A lender revaluing loans is a very dodgy piece of business practise if that act disadvantages the borrower, ie writing down the loan but not repayments. Very, very dodgy nee sharp practise Despite sanction by accounting rules. Certainly to a neutral observer, like............. The Courts.
Idiots are playing games with Tens of Thousands of Trillion dollar markets and haven't got a clue about the basics.
Devalue - Revalue, instant profit. Traders at work. They don't know or care what they are doing beyond their margin - which is incredibly narrow and fraught with ultimate risk.
oy vey!
herosrest
02-16-2009, 05:28 PM
The Insurance rebuild valuation of property is the legal basis and framework of all homeloans. It is the legal concept, an act of trust, around which the home owner and lender do business. It is an unconditional valuation. The home loan contract is not a product of Market Forces. It is a strictly biased and focused piece of law guaranteeing lenders risk in respect their loan. The valuation indicates a property's value, by law. No way around it - Mumbo Jumbo market rules all you like - they are rubbish and do not apply to any aspect of valuing the home, other than contract terms. A lender revaluing loans is a very dodgy piece of business practise if that act disadvantages the borrower, ie writing down the loan but not repayments. Very, very dodgy nee sharp practise Despite sanction by accounting rules. Certainly to a neutral observer, like............. The Courts.
Idiots are playing games with Tens of Thousands of Trillion dollar markets and haven't got a clue about the basics.
Devalue - Revalue, instant profit. Traders at work. They don't know or care what they are doing beyond their margin - which is incredibly narrow and fraught with ultimate risk.
oy vey!
This isn't a head scratcher or rocket science.
It is LAW. Very, very basic stuff! The simple laws upon which we build our lives.
herosrest
02-16-2009, 06:28 PM
The Financials are game playing to survive their last cock up. Well they've screwed up again.
Mightily. They do not own or control the markets or the market place.
They serve it. Very badly. They take the Pi55 - http://www.matchingfoodandwine.com/custom/champagne.jpg
Any one without exposure to the home and Commercial property market, entering the market now to trade Finance at Insurance rebuild valuations, owns the Stock Market. It only goes in one direction like a 'bet out of hell' and stays up, at or above its new level pretty much forever. That is because there is, finally, a bottom line. Established, defined and regulated by Law. It was there all the time, people chose to ignore it. There are no real losers - other than those with pessamistically ridiculous investment strategy or those manipulating markets. Risk is its own reward and is undertaken by the foolish.
No risk win, 33-45% minimum - reaction trading and Investment will take it through the roof. ;)
The sun is going to shine tomorrow. All day long. l'll bet ya..... 367 to 1.
Trading tip. Get into Pot. (Potential) - Go on make your own market.
There was no property bubble, Current accounts are being robbed to finance ridiculous Hedged Investment returns.
herosrest
02-16-2009, 06:40 PM
Home owners, 95% of the market solid as a rock, are crying out for finance.
It's a safe bet. As safe as houses.
Minimum asset revaluation is into + 10,000,000,000,000. Really. Check it out.
Very cheap Govt. finance packages available.
mireland
02-16-2009, 06:42 PM
http://ui03.gamespot.com/514/donald_2.jpg
j.m@talk
02-16-2009, 06:44 PM
http://ui03.gamespot.com/514/donald_2.jpg
Whoa ...... Lando ...... Ya Donald ride photo's have surfaced again :D
I start a new jobbie (http://www.uppersolutions.ca/images/window-pic.jpg) tomorrow. HERE (http://thebiggestsecretpict.online.fr/nwo/022_18A_dragon_city_of_London.jpg)
CleAning up - this lot - Good job i've a head for heights. CLICK (http://mirror-in-bom1.gallery.hd.org/_exhibits/demolition/_more2008/_more09/construction-work-on-Bishopsgate-in-front-of-The-Gherkin-tower-in-the-City-of-London-England-1-DHD.jpg)
Size 8, I am. TA! vm.http://img.thesun.co.uk/multimedia/archive/00451/cash_682_451380a.jpg (http://www.sysopt.com/forum/showpost.php?p=1460054&postcount=74)
j.m@talk
02-16-2009, 07:52 PM
8 ? ....... Freakin Pint size :D
Go here (http://www.shoetail.co.uk/)anyways ..... Mucho cheap
herosrest
02-16-2009, 07:57 PM
:D - I want them Delivered (http://upload.wikimedia.org/wikipedia/en/0/09/Memoirs_of_a_Geisha_Poster.jpg) - stupid. :t Uncle Bill at your service.
j.m@talk
02-16-2009, 08:04 PM
They'll deliver summink ...... Quite what I dunno ...... Kinda like lucky dipper :D
herosrest
02-17-2009, 12:05 AM
The Financials are game playing to survive their last cock up. Well they've screwed up again.
Mightily. They do not own or control the markets or the market place.
They serve it. Very badly. They take the Pi55 - http://www.matchingfoodandwine.com/custom/champagne.jpg
Any one without exposure to the home and Commercial property market, entering the market now to trade Finance at Insurance rebuild valuations, owns the Stock Market. It only goes in one direction like a 'bet out of hell' and stays up, at or above its new level pretty much forever. That is because there is, finally, a bottom line. Established, defined and regulated by Law. It was there all the time, people chose to ignore it. There are no real losers - other than those with pessamistically ridiculous investment strategy or those manipulating markets. Risk is its own reward and is undertaken by the foolish.
No risk win, 33-45% minimum - reaction trading and Investment will take it through the roof. ;)
The sun is going to shine tomorrow. All day long. l'll bet ya..... 367 to 1.
Trading tip. Get into Pot. (Potential) - Go on make your own market.
There was no property bubble, Current accounts are being robbed to finance ridiculous Hedged Investment returns.
Britain improving not moving: £4 billion of personal loans taken out to pay for home improvements (http://www.themoneypages.com/article/Britain-improving-not-moving-pound4-billion-of-personal-loans-taken-out-to-pay-for-home-improvements-228943.html)
Idle thoughts from the doodling pad (http://www.sysopt.com/forum/showpost.php?p=1459666&postcount=166) http://msa4.files.wordpress.com/2008/08/ostrich.jpg
A few more from the scratch pad. (http://www.sysopt.com/forum/showpost.php?p=1455229&postcount=40)
mireland
02-17-2009, 07:06 PM
Idle thoughts from the doodling pad (http://www.sysopt.com/forum/showpost.php?p=1459666&postcount=166) http://msa4.files.wordpress.com/2008/08/ostrich.jpg
A few more from the scratch pad. (http://www.sysopt.com/forum/showpost.php?p=1455229&postcount=40)
" For those of you with normal lives not cluttered with acronyms related to obscure financial instruments, a CDS contract is essentially a form of insurance on a corporate bankruptcy or default. Less generously you could call it a gaming contract. The contract says that the writer of the insurance is obligated to purchase a bond issued by Ford or Citigroup from the buyer in the event those entities default. WHAMO!
Re-establish home value - Insurance Rebuild Value - With new 'cheap' credit models countries and stock markets simply trade out of danger. Put the friggin equity back - it shouldn't have been destroyed to start with - it was an error! A mistake.
It is chicken and egg. But if their is no value - you can't have eggs to play with.
herosrest
02-17-2009, 10:36 PM
A tiny, 2-4% of the HOME property market was in trouble - the numbers look big until you realise that the 'entire' market is 50 to a hundred times bigger and was doing ok
The troubled property SECTOR is being revalued - BUT that 2% is taking the other 98% with it. That is a difference of magnitude that is going to demolish the US economy - NO ONE has realised what is actually happening. All mumbo Jumbo and short sighted we've got a banking problem, and home default problem.
Just wait until the one around the corner hatches. Property value looks to be down about 30% and still going - come on peeps... wakey wakey. THAT is several TRILLIONSof value vaporising every day. The implications are staggering and it is a cock up - only the repo homes were meant to devalue - they have taken everything with them!
BuBbleS everywhere - CLICK! (http://en.wikipedia.org/wiki/Economic_bubble)
http://www.timswineblog.com/~ASSETS/IMG/upload/champagne%20smash.jpg (http://www.thebigmoney.com/articles/hey-wait-minute/2008/10/08/bubble-economics-101) KLIK PIC
http://www.charlespetzold.com/blog/2006/04/AllXamlClock.png (http://www.investmentnews.com/apps/pbcs.dll/article?AID=/20090218/REG/902189980/-1/rss02&rssfeed=rss02) gROWTH AIN'T WHAT IT USED TO BE!. NO BODY THINKS ANY MORE!
j.m@talk
02-18-2009, 02:43 PM
Klock as stopped
mireland
02-18-2009, 02:44 PM
Klock as stopped
so has Hero's sanity...:t
j.m@talk
02-18-2009, 02:55 PM
e just needs a kick up acre ........... Wiv a CAT Hoe :D
herosrest
02-18-2009, 04:08 PM
No One Can Escape the Crisis (http://www.slate.com/id/2211473/)
The whole world is crashing. That's essentially the message of the Washington Post's (http://www.washingtonpost.com/wp-dyn/content/article/2009/02/17/AR2009021701117.html) lead story that takes a look at how markets plunged around the world yesterday amid signs that are making it seem increasingly clear that no one is going to survive the economic crisis unscathed. The economies in Japan, Britain, and Germany are all falling at a rate not seen in decades. And emerging economies "are contracting at a pace few had predicted just months ago." The Dow Jones industrial average plunged nearly 300 points and closed just a fraction of a point above its November low........
The Loan Ranger (http://www.thebigmoney.com/articles/making-bail/2009/02/17/loan-ranger)
As President Obama heads to foreclosure-pocked Phoenix this week to announce his administration's plans to help mortgage borrowers crushed by debt stay in their houses, a lot of suffering homeowners are asking what took him so long. The number of them doomed to foreclosure is growing so fast that Credit Suisse had to revise its projections twice in 2008. Its analysts now predict that some 8.1 million homes will meet that fate by 2012—an astounding one in six of all households with mortgages.
This was an Investment Trading disaster. Nothing whatever to do with property loans to home-buyers. - herosrest
Con men, whoops, Traders are still at work.
They will wreck the economy from the margins and do not care!http://www.anderson-online.co.uk/lions2009/quark.jpg (http://en.wikipedia.org/wiki/Ferengi)http://www.anderson-online.co.uk/lions2009/quark.jpg (http://en.wikipedia.org/wiki/Ferengi)http://www.anderson-online.co.uk/lions2009/quark.jpg (http://en.wikipedia.org/wiki/Ferengi) ;)
They and their culture are characterized by a mercantile obsession with profit and trade and their constant efforts to swindle people into bad deals.
Let's play Banks next.
herosrest
02-18-2009, 04:34 PM
Several things came together and achieved a synergy far beyond reasonable expectation.
Investment return excess, Devaluation of wages, Property VALUE destruction, Destruction of consumer credit, destruction of credit, Leveraged Business investment, Short trading mentality and the cork in the bottle - the oil revenue price surge and profits.
Current accounts have been destroyed - Leveraged Investment trading has become insane and derivative gambling has been used as lnsurance.
It isn't going to take a decade to sort its self out.
herosrest
02-18-2009, 04:47 PM
Leveraged Investment WILL collapse. Literally collapse - the assets are fraudulent - all of them. Not worth a piece of kleenex. They are a con - totally dependant upon cash flow. A deck of cards. Madoff is the proof. MUMBO JUMBO 'RULES' !
herosrest
02-18-2009, 04:59 PM
HUMAN NATURE AND SOCIETY BEING AS THEY ARE, NOTHING WILL ALTER UNTIL THE BILLIONAIRES REALISE THE THREAT TO THEM.
BY THAT TIME IT WILL ALREADY BE TOO LATE. YOU WERE CONNED! BY RABBLE.
THERE WILL BE BLOOD LETTING - THERE WILL BE HAVOC!
herosrest
02-18-2009, 09:37 PM
Total hedge fund assets at the end of 2008 were USD1.43trn, a decline of over USD700bn or 34 per cent from 2007 levels, according to .Crédit Agricole Structured Asset Management's industry report (http://www.hedgeweek.com/articles/detail.jsp?content_id=294250)
Those are very interesting numbers. 700Bn - 34%, seems to ring a bell. Hmmm... 700Bn.........
This is amusing - sort of. A chart. (http://orgnet.com/madoff.html)
mireland
02-18-2009, 09:38 PM
time for some extreme gardening: trim them hedges.
j.m@talk
02-18-2009, 09:50 PM
time for some extreme gardening: trim them hedges.
Total hedge fund assets at the end of 2008 were USD1.43trn, a decline of over USD700bn or 34 per cent from 2007 levels, according to
Crédit Agricole Structured Asset Management's industry report (http://www.hedgeweek.com/articles/detail.jsp?content_id=294250)
Those are very interesting numbers. 700Bn - 34%, seems to ring a bell. Hmmm... 700Bn.........
This is amusing - sort of. A chart. (http://orgnet.com/madoff.html)
Those are very interesting numbers. 700Bn - 34%, seems to ring a bell. Hmmm... 700Bn.........
Hmmmm, $700Bn - rocket science. :rolleyes: Have a li'l read $700Bn (http://en.wikipedia.org/wiki/Troubled_Assets_Relief_Program)
herosrest
02-18-2009, 10:02 PM
time for some extreme gardening: trim them hedges.
http://www.girliegardening.com/images/logo.png (http://www.girliegardening.com/) ?
Already taken care off. Must sort out the ivy next.
j.m@talk
02-18-2009, 10:05 PM
Its a ferker that stuff ....... Gets everywhere ........ Garden rake..... Swiiiiiiiing ...... Karcher washer on tha bricks ......... Loadsa salt on tha rootz ....... Problem solved ;)
It worked a treat for moi :t
mireland
02-18-2009, 10:34 PM
Its a ferker that stuff ....... Gets everywhere ........ Garden rake..... Swiiiiiiiing ...... Karcher washer on tha bricks ......... Loadsa salt on tha rootz ....... Problem solved ;)
It worked a treat for moi :t
do you garden? are you gay???:eek:
herosrest
02-18-2009, 11:00 PM
http://www.theoptionsguide.com/images/put-call-parity-equation.gif (http://www.theoptionsguide.com/understanding-put-call-parity.aspx)I reckon it's the lot sat around all day squeezing numbers and punching buttons that are GaY........... oh what a lovely equation! Put up or call..... :confused: Is it any wonder - that anyone from the real world with half a brain has run rings around their bonus's. Je'ez a 'mighty... it's just insane. Pure Spock.
j.m@talk
02-18-2009, 11:09 PM
do you garden? are you gay???:eek:
Rarely ........ I kinda Kill plants ..... Thats my gardening function ;)
But having a house wiv two gardens ..... Ya kinda have to ...... :t
herosrest
02-19-2009, 03:06 PM
http://www.theoptionsguide.com/images/put-call-parity-equation.gif (http://www.theoptionsguide.com/understanding-put-call-parity.aspx)I reckon it's the lot sat around all day squeezing numbers and punching buttons that are GaY........... oh what a lovely equation! Put up or call..... :confused: Is it any wonder - that anyone from the real world with half a brain has run rings around their bonus's. Je'ez a 'mighty... it's just insane. Pure Spock.
Is investment a gardening activity. You have to plant Hedges before they grow? :D
herosrest
02-19-2009, 03:08 PM
Can one grow Hedges on an oil rig? - miracles do happen! :(
herosrest
02-19-2009, 04:02 PM
THIS (http://www.sambaladevelopments.com/cape_verde_news.cfm?nid=937) didn't really get much exposure - yet!
Unlike Anane - here (http://www.mawrecords.com/bios2/pages/ananebio.html) - http://tbn3.google.com/images?q=tbn:dVwnt3wdhKWrUM:http://www.soltrenz.com/Bio%2520Pics/Anane2.jpg Whom you may remember from a Super Bowl appearance in 2007 -
After immigrating to Rhode Island with her family, Anané was able to expand on her musical interests from the island sounds of Cape Verde to the truly diverse and soulful sounds of America. She has been musically influenced by the artists she grew up listening to, including a wide range of classic and contemporary vocalists such as: Gal Costa, Tito Paris, Sade, and Jill Scott. Anané shines bright (http://www.vs-magazine.com/vsmag/index.php?option=com_content&task=view&id=52&Itemid=10017)
As her star rises, others wane - Richard Anane: I am free from hell (http://topics.myjoyonline.com/news/200712/11841.asp). Dr Anane told the Daily Graphic in Accra that he had gone through hell for months during the period he was accused of corruption and abuse of public office. He was referring to the period when his case dominated the headlines for allegedly transferring huge sums of money to his American mistress, Alexanderia O'Brien, with whom he had a child. Reacting to the Supreme Court ruling to the effect that CHRAJ, which found him guilty, could not investigate allegations based on mere media reports without a formal complaint from identifiable persons, whether legal or natural, Dr Anane blamed his woes on the media. By a 4-1 majority decision, the Supreme Court dismissed the application for certiorari filed by CHRAJ, which sought to quash a High Court decision overturning CHRAJ's decision that Dr Anane had abused his office, committed perjury and engaged in a conflict of interest. Asked Whether he would accept to go back to his position, he said, "When we get to the river, we shall cross it."
Where exactly is Babylon, anyway? So.... What has this to do with the price of Onions..?
Well, Cape Verde terminates Insular Bank licence (http://www.sambaladevelopments.com/cape_verde_news.cfm?nid=937) The Cape Verdean government has decided to terminate the licence of Insular Bank for its part in a major financial scandal, afriquejet.com reported on Thursday (February 13th). Finance minister Cristina Duarte revealed that the offshore financial institution is being charged for contributing to a scandal which has caused the nationalisation of the Portuguese Bank of Business. The €700 million (£625 million) crisis - of which €360 million was connected to Insular Bank's operations in the archipelago - involved the bank hiding transactions and concealing financial figures. The cancelling of the licence some four months after the scandal erupted was no great surprise, with Carlos Burgo, the governor of the Bank of Cape Verde, expressing his concerns on several occasions over how it reflected on the country's reputation. Indeed, Insular Bank - which has its headquarters in Cape Verde - was reportedly exposed after the Bank of Cape Verde issued a warning to its Portuguese counterparts. Cape Verde became the 153rd member of the World Trade Organisation on June 23rd 2008. This article was brought to you by Sambala Developments: the developer for Cape Verde property.
THIS IS INFLATION! - REAL, UNADULTERATED - ROB THEM BLIND - INFLATION
ALL DONE FROM 1,000'S OF MILES AWAY
DAYLIGHT ROBBERY
http://www.sambaladevelopments.com/filestore/Investment/VillaType3_Investment_Case.jpg (http://www.sambaladevelopments.com/villa_type_3_property.htm)
http://www.sambaladevelopments.com/images/interface/main/siteheader/header.jpg (http://www.sambaladevelopments.com/villa_type_3_investment.htm)
THIS IS INFLATION! - REAL, UNADULTERATED - ROB THEM BLIND - INFLATION
j.m@talk
02-19-2009, 06:26 PM
What J00 wittering bout ?
herosrest
02-19-2009, 07:12 PM
http://files.myopera.com/herosrest/albums/634358/888.jpg (http://www.youtube.com/watch?v=fUq0St_1X0s) <<< >>> http://files.myopera.com/herosrest/albums/634358/888.jpg (http://www.youtube.com/watch?v=0O5aA83GfYc)
AGAINST ALL ODDS
http://files.myopera.com/herosrest/albums/634358/888.jpg (http://www.youtube.com/watch?v=l7Ot2ujSDXY)http://files.myopera.com/53north/albums/667515/NZ%20Coffee_girl.jpg (http://www.youtube.com/watch?v=SwN806lLKZQ&feature=related)http://files.myopera.com/herosrest/albums/634358/888.jpg (http://www.youtube.com/watch?v=CjEqmtHfFpo)
WE DEFEND
THAT MEANS, QUITE SIMPLY - DIE YOU BAR STEWARD'S.
ROT IN HELL! (IT is a place on Earth.) (http://parrots4parties.com/images/prop-party/gallows.jpg)
mireland
02-19-2009, 07:19 PM
http://www.hjo3.net/orly/gal1/orly_wonka.gif
herosrest
02-19-2009, 07:34 PM
Well SiB, http://ftalphaville.ft.com/blog/2009/02/17/52560/sir-allens-antigua-or-the-curious-case-of-stanford-international-bank/
*BN, another 51BN scattered here and there.........
Right which li'l 3 letter insignificans will be next.. shouldn't take t0,000,000,000 long.
tolong???? .............
herosrest
02-19-2009, 08:07 PM
Hey, Merry Xmas - investor Rene-Thierry Magon de la Villehuchet :-@
Do click this link - it is so full of cheer. Poor bugger. (http://www.heraldtribune.com/article/20081225/article/812250340&tc=yahoo)
Scratch pad jobbie. hmmmm, software, accounting, charities... sad people..... http://www.accessint.com/
l never could get handle on yanks being proud of french ancestory.... it's kinda a logic bomb! Ribbit ribbit. Admittedly, though - he is perhaps setting excellent example........ yeah.......... So. What's occuring in Toledo at the moment.
herosrest
02-19-2009, 09:02 PM
:D How embarassing, rather bad form what on the the Cuckoo's part. UBS blocks US client details move. (http://news.bbc.co.uk/1/hi/business/7900593.stm)
On Wednesday UBS agreed to pay $780m (£549m) to the US government to settle allegations that it had defrauded US tax authorities, after being accused of conspiring to create sham accounts to hide clients' assets. Switzerland has strict bank secrecy laws but the country's financial regulator ordered UBS to hand over some client data to the US government.
Swiss bank UBS has refused a US government demand to provide information on 52,000 US clients. The request was made in a lawsuit filed earlier in the day in Miami as part of a tax fraud investigation. The Obama administration wants UBS to turn over information on American customers who hid accounts from US authorities, in violation of tax laws. A deal on Wednesday provides access to about 250 to 300 UBS customers who used Swiss bank secrecy laws to hide assets.
There may be trouble ahead.......... but while there's moonlight and music, lets.....
So l guess the US Government simply lays ownership to all overseas funds in or controlled by Swiss Business, and asks for their own info... the assumption being that all funds held and controlled by Swiss business are illegal funds.
Silly move Switzerland. Then of course .... you think Americans are stupid. Bad move, really dumb.
herosrest
02-19-2009, 10:07 PM
http://news.bbc.co.uk/olmedia/1255000/images/_1257911_daley_150.jpg As "Arthur Daley" (George Cole) Once said: "The world is your Lobster" :t..
'twas such a pity he emigrated. He did well in New York apparently.
Something Big on Wall St. I heard.
herosrest
02-19-2009, 11:40 PM
Oil Soars 14%. Can Rally Last? (http://online.wsj.com/article/SB123505289938422483.html) Carbon Trading relates directly to oil price. Existing and intended schemes modify perceptions and importance of the oil price. At this time it is a bad move.
Crude futures soared after the first withdrawal of oil from U.S. inventories since December.
. Light, sweet crude for March delivery rose $4.86, or 14%, to $39.48 a barrel on the New York Mercantile Exchange. With the March contract expiring on Friday, the bulk of trading already has shifted to the April contract, which rose $2.77, or 7.4%, to $40.18 a barrel.
. Oil inventories fell by 200,000 barrels in the week ended Feb. 13, where analysts polled by Dow Jones Newswires had forecast, on average, a 2.9 million-barrel build.
There is quite simply to little cash about our economies. That is the long, short and bit in the middle of how things got where they are. A profitable oil business is a total ridicule at this time. It benefits no-one. Profits and return when invested are killing demand. It really isn't difficult to grasp.
Stuff the profit - survival is already the name of the game. Quadruple inflated profits and invest for crazy levels of return - that is the kind of mentality that caused this nasty situation. The world, and traders need to change mindset and go LONG. Stock Markets are being used as Piggy Banks to maintan cashflows for Investment Funds who are DESPERATE to survive. It is a plainly insane method of trading and yet makes sense to the idiots doing it.
Shortly, very soon - there will be no cash flow and the market declines are threatening that now - then the redemptions begin and no one will know what t=hit them. It will be like 20 Madoff's a day. All of them bigger than that stupid little Fund.
How big, how much do they have to make to survive - l bet - any sum you like that no one knows. It hasn't occured to anyone?
herosrest
02-20-2009, 12:57 AM
BOE Official Calls for Market Intervention (http://www.ft.com/cms/s/0/e58df0d4-feca-11dd-b19a-000077b07658.html)http://tbn0.google.com/images?q=tbn:8FwQCFFmjS89HM:http://www.albion-swords.com/images/swords/albion/nextGen/laird5a1.jpg (http://www.bloomberg.com/apps/news?pid=20601068&sid=aoU6VkHvLBnU&refer=economy) <<< ________ CLICK ________ >>> http://tbn1.google.com/images?q=tbn:biK9e0APqik4fM:http://www.babble.com/CS/blogs/famecrawler/2007/10/16-22/miley-cyrus-lipstick-kiss-dress-pregnant-rumor-hannah-montana-disney-channel.jpg (http://online.wsj.com/article/SB123508016622026571.html)Those could include limits to size of a mortgage loan relative to the value of the property it is secured on, or setting compulsory margin requirements
on trading positions. To be sure, Mr. Gieve said there is a danger in too much regulation, and he doesn't favor bank nationalizations unless as a last resort.
"We cannot leave risk management to the banks," he said. "Not only may they get it wrong but their risk systems, like their marketing,
are directed at their competitive advantage and they are not motivated or in a position to look after the system as a whole."
The subtlety between Freedom and Free Dum! is just that, subtle (the way bricks smash windows).
:D How embarassing, rather bad form what on the the Cuckoo's part. UBS blocks US client details move. (http://news.bbc.co.uk/1/hi/business/7900593.stm)
On Wednesday UBS agreed to pay $780m (£549m) to the US government to settle allegations that it had defrauded US tax authorities, after being accused of conspiring to create sham accounts to hide clients' assets. Switzerland has strict bank secrecy laws but the country's financial regulator ordered UBS to hand over some client data to the US government.
Swiss bank UBS has refused a US government demand to provide information on 52,000 US clients. The request was made in a lawsuit filed earlier in the day in Miami as part of a tax fraud investigation. The Obama administration wants UBS to turn over information on American customers who hid accounts from US authorities, in violation of tax laws. A deal on Wednesday provides access to about 250 to 300 UBS customers who used Swiss bank secrecy laws to hide assets.
There may be trouble ahead.......... but while there's moonlight and music, lets.....
So l guess the US Government simply lays ownership to all overseas funds in or controlled by Swiss Business, and asks for their own info... the assumption being that all funds held and controlled by Swiss business are illegal funds.
Silly move Switzerland. Then of course .... you think Americans are stupid. Bad move, really dumb.
Could this mean - WAR!
Swiss court halts turnover of UBS data (http://money.cnn.com/2009/02/20/news/international/ubs_court/index.htm?source=yahoo_quote)
Attorney for Swiss regulators claims disclosure by the Swiss banking giant accused of aiding U.S. tax evaders would harm customers.
So, one of the most democratic nations on Earth(Switzerland), is defending the individuals right to defraud the state. Not their own, mind. Hmmm!
In the RED corner - Switzerland.
In the Blue corner................. USA.
From a neutral stance, it seem obvious that the accounts in question should be frozen by Swiss authority and funds confiscated until the legal and political jurisdictions can be resolved.
This will probably take until the year 2250, possibly beyond! :D
ALL FINANCIAL TRADING - MUST BEGIN WITH A TRANSACTION TAX.
YUP - NOTHING, NADA OCCURS UNLESS THE FIRST STEP IS A REGISTRATION ADVISING TRADING.
THE FEE CAN BE 1C OR 1P. THE TAX TAKE IS NOT THE ISSUE :rolleyes:
ALL TRANSACTIONS AND MOVEMENT OF FUNDS MUST BE MEASURED FOR ANALYSIS.
THIEVES AND CONMEN ARE AT WORK AND ENOUGH IS E-FUNKIN' NOUGH!
NO EXEMPTION - A HANGING OFFENCE!
THERE IS ONLY ONE DIRECTION THE WORLDS ASSETS ARE HEADED AT THIS TIME
THAT IS INTO THE GALAXY NGV-000000.0009 (NO GROSS VALUE).
VALUE MUST BE PROTECTED RATHER THAN RAPED BY YAHOO'S
WHICH IS THE CASE TODAY.
The concept that something is worth what someone else will pay for it is very true.
It is however only - one half an argument and less.
It is a Trader's argument and is actually MumboJumbo.
Anywhere else - other than our glorified modern day money and trading pits
- if you can't afford it you go without.
Licensed Traders are able to turn basic logic on it's head and destroy value.
A simple but fatal error - as trading volumes grow they control markets they make and they manipulate them.
An honest but biased mistake was implemented into business lore and has got to be corrected.
This is a profound argument it is deeply contentious because of the advantage it bestows on a Rat Pack.
It runs to the core of values.
Call it trickle down if you like.
Increasing general wealth benefits everyone - particularly those at the margins.
There is a pathetically ridiculous system of lazy, play around with 000's abuse going on that is self destructive beyond imagination.
It is out of control. Lazy, know nothing 'experts of total self interest' and 'turn a blind eye bonus'.
The system is screwed - biased beyond all logic.
It is failing because billions of people who have nothing to do with it are subsidising abuse by a bunch of idiots.
The entire planet has been dragged into insuring corruption.
It won't last - too many people will get pi55ed of with it all -
and - it will crash quite spectacularly.
It's simply question of which occurs first.
herosrest
02-23-2009, 12:11 AM
Items, any you care to dream up, are worth what they cost to replace. Be it property or knee pads for ants.
That cost is a valuation that remains current.
This is an idea that really should be thought through. It is elegant in implication.
It does not impact trading practice but does put a proper and quite correct floor under Asset value.
Trading practise is affected by imposition of a balancing factor that ensures responsible behaviour with a real and apparent threat to excessive risk taking.
There is a real and unavoidable BOTTOM LINE.
NOT ACCOUNTANTS GOBBLEDEEGOOK.
THERE ARE NO MORE 'STUPID' EXCUSES - GO STRAIGHT TO JAIL OR STEP ACROSS TO THE NEAREST LAMP POST.
EQUITY OF INTEREST
(BE AS CLEVER AS YOU LIKE - CAUSE AND EFFECT ARE MUTUAL)
[STABILITY] <<<< [LIFE] __________ [BALANCE = AN EQUATION] __________ [TRADE] >>>>
[CHAOS - OPPORTUNITY]
PERFECT STORM is reasonable assessment
FACT is Black HOLE
it accelerates - NO ESCAPE.
The IPD property index shows that the fall in property total returns accelerated in the third quarter of 2008 over the previous quarter, to -3.8 per cent, the worst month so far this downturn, with capital values down 4.3 per cent. While income returns rose 0.5 per cent, rental value growth fell -0.3 per cent, the sixth month of decline.
HS Batman! That's **% pa.............. oblifgth**vgg my investmentssssss sobs sobs sob
herosrest
02-24-2009, 07:21 PM
17% earnings per share - 23% RoE
mireland
02-24-2009, 07:24 PM
17% earnings per share - 23% RoE
rinse.spit. repeat
herosrest
02-25-2009, 02:01 AM
Banging on, so to speak - http://www.theoildrum.com/node/5121 a very GOOD read.
Simply interesting.
Here (Wiley Coyote) is an after dinner type backgrounding on Oil issues.
It covers some basic facts, destroys a few myths -
which is good and is circumspectly conservative in the that
ridiculous "i'm right" way that right thinking "up yours" types
adopt to cover their naked thievery and hatred of the world.. :D (joke! - ok)
It's a couple of 3 minute videos that are coffee break stuff - they are ok and informative.
Better than watching paint dry. They are also provocative.
Who, from presenter to top commentator and scientist are these ah! so'S. !
Oh..I spent 7 years out of my tree getting honors and nailing jelly to plank's
- the world really will end - one day you know. Ah so's top to bottom.
The world is full of thieves - nasty, tricky, sneaky, cunning theiving scum.
Hang 'em! Hang 'em high THEN TURN 'EM INTO TOILET PAPER. Yeahhhhhhhhhh!.
Unrelated to thievery and villanous scum............ One dollar from every gallon of oil is profit.
This is good, very, very good. Why isn't there a one dollar profit on everything?
Who's Sarah Palin?..... :confused: CLICK PIC.
http://images8.cafepress.com/product/308710058v1_350x350_Front.jpg (http://i350.photobucket.com/albums/q411/Nobar_King/censored/olsen-twins-nudeparty-hell-censored.jpg)
Banging on, so to speak - http://www.theoildrum.com/node/5121 a very GOOD read.
Simply interesting.
herosrest
02-25-2009, 05:39 AM
UBS in $31bn bond order mistake (http://news.bbc.co.uk/1/hi/business/7909627.stm) (Titter) 31 BN...... (http://www.freedigitalphotos.net/image/s_peanuts1.jpg)
http://images.music11104.multiply.com/image/3/photos/199/1200x120/15/EMOTICON-MONEY.png?et=V%2B6c0xrpWtpE9WnJB0FeNg&nmid=53371700http://tbn1.google.com/images?q=tbn:mCN9ve2_7KvliM:http://www.sherv.net/cm/emo/icons-land/shy.gifhttp://newsimg.bbc.co.uk/media/images/45461000/jpg/_45461582_ubs226.jpg CLICK (http://www.thisislondon.co.uk/standard-business/article-23582117-details/UBS+reports+losses+of+31bn+as+clients+flee+global+ meltdown/article.do)
A Japanese unit of Swiss banking group UBS has mistakenly placed an order for 3 trillion yen ($31bn; £21bn) of bonds. UBS Securities Japan said the error was caused by a glitch in its computer system, and that it had asked the Tokyo Stock Exchange to cancel the order. According to reports, this request has now been granted by the stock exchange. The UBS order for the bonds of computer game maker Capcom was made in electronic out-of-hours trading, which analysts said made it easier to cancel. A spokesman for Capcom, best known for its Biohazard game, said the firm had received an apology from the Tokyo Stock Exchange for the inconvenience.
Ya know.. that just might be the answer. Cancel ALL derivative contracts............. :D Yo MoMMa!
Things are never quite what they seem and TRUE c0-incidence is rarer than TRUTH.
So - how come 31 Billion mistrade today equals credit crisis reported losses and writedowns of almost $49 billion (£31 billion), largely because of its exposure to the US housing market. Oh, of course....it's £ $ and Yen. Wot no SFr - they must take the rap.
http://i.dailymail.co.uk/i/pix/2008/11/04/article-1083023-0273FDD9000004B0-572_468x286.jpgCLICK (http://www.dailymail.co.uk/money/article-1083023/UBS-reports-losses-31bn-clients-flee-global-meltdown.html)
UBS - CLICK (http://www.thisismoney.co.uk/investing-and-markets/article.html?in_article_id=456531&in_page_id=3)
UBS - CLICK (http://www.thisislondon.co.uk/standard-business/article-23582117-details/UBS+reports+losses+of+31bn+as+clients+flee+global+ meltdown/article.do)
herosrest
02-25-2009, 06:25 AM
What's the odds there is an equal amount of loss - sitting in books somewhere.......... bonds maybe........
<<< CLICK >>> (http://www.sysopt.com/forum/showpost.php?p=1463905&postcount=5)
C0-INCIDENCE BEING RARER THAN TRUTH DURING THIS 21ST CENTURY
is it not oddity sublime that slap bang in the murdiddle of [QUOTE :rolleyes:] the largest EVER Ponzi HaHa! scheme
that a renowned Banking presence half a globe away manages to write off the exact same amount of troubles.
Well balanced them Swiss are. Very well balanced.
Senior UBS executives and board members may come under pressure to hand back Sfr60m (£32m) in bonuses paid out last year.
The Swiss bank said today that the issue of executive remuneration, including whether previously granted incentive awards will be repaid,
will be discussed at an extraordinary meeting for shareholders scheduled for November 27.
However, bank insiders denied that anyone will be forced to hand back a bonus that they have already received.
The bank, the worst European casualty of the 14-month-old financial crisis, writing down $50bn (£31bn),
has already indicated that it will not pay any bonuses this year to Peter Kurer, its chairman, and other executives.
http://www.guardian.co.uk/business/2008/nov/05/ubs-europeanbanks1 (http://www.guardian.co.uk/business/2008/nov/05/ubs-europeanbanks1) - Funny old world. :rolleyes:..
Sharks harpooning Whales! - enough of this rubbish!
"We all felt at home among the sharks and stingrays,"
A crew - a motely crew - got together in insurance some years back - they are scattered to the 4 corners of the planet -
raising chaos and financial mayhem.
They all worked one place - one theme - one practice.
http://www.directart.co.uk/mall/images/l22.jpg (http://en.wikipedia.org/wiki/H.M.S._Defiant) http://www.sysopt.com/forum/images/smilies/wink.gif (http://en.wikipedia.org/wiki/HMS_Defiance)
Topic Terminated. 11-30-2004 to 02-03-2009. ;) http://www.sysopt.com/forum/images/smilies/t.gif (http://www.sysopt.com/forum/showpost.php?p=1465306&postcount=248)Traders..... deal makers, the Barrow Boys - have got their hands on the property market and are raping it.
They will tell you all day long that those fins on their back are an illusion and get away with it.
Sharks are harpooning whales.
How do you think the Hedge Funds are turning those pretty pennies.
It ain't the TAX dodges doing it.
People sign up for 25 years for this rubbish.. no funckin WAY! Lock them up! - with Insurance rebuild values. http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2005/11/23/ccjeff23.xml Under Mr Wood, UBS's strategic risk management team has delivered an average annual return of more than 50 per cent over the past five years, earning $2.4bn in revenue for the bank.
Brian Keelan, the swashbuckling corporate financier who achieved fame defending the Co-op from a hostile takeover bid in 1997, is leaving UBS Warburg to join Jardine Matheson, the Bermuda-based conglomerate.
http://www.independent.co.uk/news/business/news/top-financier-quits-ubs-warburg-for-jardine-matheson-685735.htmlhttp://newsimg.bbc.co.uk/nol/shared/img/v3/bbc_logo.gif (http://news.bbc.co.uk/1/hi/business/7221827.stm) Click pic Deficits could rise sharply if radical new proposals about the way pension fund assets and liabilities are calculated and reported are adopted. The Accounting Standards Board (ASB) is responsible for the rules which govern financial accounting. "Investor SRM Master Global Fund Ltd., which bought a 5.19% holding in the Countrywide Financial Corp on Jan. 24, said Thursday in a filing to the U.S. Securities and Exchange Commission that the agreement did not “provide sufficient value” to Countrywide's common... "
- Nov 28, 2007 Reuters.uk,In a regulatory filing, SRM, run by influential former UBS trader Jon Wood, said it had bought another 2.5 million shares at 114.7 pence each.
LONDON (Thomson Financial) - SRM Global Master Fund Ltd Partners, the hedge fund seeking to stop the auction of Northern Rock PLC, has raised its stake in the stricken UK mortgage lender to 9.29 pct from 9.1 pct.
SRM, led by former UBS trader Jon Wood, said in a statement that it bought a further 800,000 Northern Rock shares at 0.929459 per unit, taking its total holding to about 39.143 mln shares.
[/URL] 21 December 2007, 18:29 GMT
Northern Rock has agreed to hold an emergency meeting for shareholders to discuss its sale process on 15 January. The meeting will be the first high-profile occasion for shareholders to grill management after the bank ran into trouble in September. Two of the bank's major shareholders are calling for restrictions on the bank's ability to sell the company's assets or issue new shares.
http://www.hedgefundreader.com/2006/08/srm_global_read.html (http://news.bbc.co.uk/1/hi/business/7155574.stm) Investors in SRM Global can choose from two fee structures – a 1 percent management fee to invest for a period of five years and 1.5 percent for three years. SRM Global will retain 25 percent of its profits.
[url]http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2006/12/12/ccdiary12.xml Hedge fund RAB Capital spared no expense when it came to organising this year's Christmas party: hiring out the London aquarium for drinks, dinner and dancing. "We all felt at home among the sharks and stingrays," jokes my man at RAB, who tells me the party continued at a Mayfair club.
Hang on a mo... NR got into trouble with a high risk strategy that Hedge funds exploited. Funny old world. Sharks harpooning whales. whatever next?What's the odds there is an equal amount of loss - sitting in books somewhere.......... bonds maybe........C0-INCIDENCE BEING RARER THAN TRUTH DURING THIS 21ST CENTURY
is it not oddity sublime that slap bang in the murdiddle of the worlds largest EVER Ponzi HaHa! scheme
that a renowned Banking World presence half a globe away manages to write off the exact same amount of troubles.
Well balanced them Swiss are. Very well balanced.
Senior UBS executives and board members may come under pressure to hand back Sfr60m (£32m) in bonuses paid out last year.
The Swiss bank said today that the issue of executive remuneration, including whether previously granted incentive awards will be repaid,
will be discussed at an extraordinary meeting for shareholders scheduled for November 27.
However, bank insiders denied that anyone will be forced to hand back a bonus that they have already received.
The bank, the worst European casualty of the 14-month-old financial crisis, writing down $50bn (£31bn),
has already indicated that it will not pay any bonuses this year to Peter Kurer, its chairman, and other executives.
http://www.guardian.co.uk/business/2008/nov/05/ubs-europeanbanks1 (http://www.guardian.co.uk/business/2008/nov/05/ubs-europeanbanks1) - Funny old world.
Traders..... deal makers, the Barrow Boys - have got their hands on the property market and are raping it.
They will tell you all day long that those fins on their back are an illusion and get away with it.
Sharks are harpooning whales.
How do you think the Hedge Funds are turning those pretty pennies.
It ain't the TAX dodges doing it.
People sign up for 25 years for this rubbish.. no funckin WAY! Lock them up! - with Insurance rebuild values.
Sharks harpooning Whales! - enough of this rubbish!
"We all felt at home among the sharks and stingrays,"
A property reinstatement valuation is to assess the cost of premises in the event of total destruction, usually a requirement of buildings insurance.
Property Reinstatement Valuations are produced using published building cost information from current or recent projects. Valuations can be undertaken on a one-off basis or reviewed annually. Accurate property reinstatement valuation can save on insurance premiums by accurately determining the value of property. Many property owners guess at the cost of reinstatement, but in the event of an insurance claim being made, the first thing the underwriter will ask for is a reinstatement valuation. If property is undervalued, the full value of insurance claim may not be paid. Many buildings insurance policies are therefore index-linked, to provide sufficient cover.
Properly regulated and enforced valuations provide an accurate, reliable and maintainable bottom line for all accounting and trading practise - regardless of market conditions and trading opportunity. The idea that Trading Opportunity is King has had it's. It is not an effective, efficient or worthwhile measure of value.
Prime example - Domestic housing where devaluation across the entire stock is determined by market conditions for properties actually offered for sale. A tiny percentage of housing - that actually for sale - is pricing every property that exists.
This is not logic - it is applied self interest by those dealing property sales.
The majority of property is actually an asset utilised by the home owner to 'their' advantage. Currently this fact of life and rule of law, has been torn up and thrown away by idiots who are wrecking the economic bedrock by misrepresenting and devaluing ASSET'S which underly the entire fabric of the economy. Madness is afoot. This madness has taken over and must be questioned and seen for what it is. Utter stupidity that is undermining the financial system. The logic of Property Reinstatement Valuations applies across the spectrum of Market sectors and offers salvation.
A trader will always manouver for advantageous deals, signed on the dotted line - whenever that possibility exists or can be manufactured. It is completely out of control and conduct is irresponsible in broader terms than traders interests. Financial Investment logic and process is out of control. :rolleyes:
This mess that has descended and 'will' continue, will not sort its self out from the top down - it will turn around or not, on the streets, in the homes and in individuals worth. What they have to spend and whether they do that or not.
herosrest
02-27-2009, 03:56 AM
Here's what's wrong......... Economy: New home sales plunged to an annual unit rate of 309,000 in January,
the worst level since the government began keeping records in 1963. Economists thought sales would fall
to 324,000 in the month, according to a Briefing.com survey.
Sales stood at a 344,000 annual unit rate in December.
Here's decent backgound data and views. 1 - CLICK (http://understandingthemarket.com/?p=16) 2 - CLICK (http://en.wikipedia.org/wiki/United_States_housing_bubble) 3 - CLICK (http://www.builderonline.com/demographics/census-us-housing-stock-now-numbers-128-million-units.aspx)
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチ
PLAIN AND AS SIMPLE AS IT GETS - PROPERTY VALUE
NOUGHT GETS SORTED OUT UNTIL THE VALUE OF PROPERTY IS SET AND RELIABLE.
The traders set up to manipulate and profit from the wealthiest market there is and they blew it!
With utter stupidity that continues today...............
They cant believe yet alone admit it's a huge bubble waiting to explode.
It will because the returns are unsustainable - plain insane greed.
Until the relationship between property value and equity is normalised - everyone from Presidents and industrialists
on down to those lowly socialites that gather flocks to party at economic forums are doodleee - ing in the wind.
The largest economic constituents (Home owners) in the major economies have been kicked in the nuts. Some might call it rape.
Not for any good reason other than a bunch of over ego'd Financiers balled it up and are scared stupid they are finished.
Finance got it wrong with these crazy returns on investment. There is the bubble.
There is the reason for all the problems and what ever happens, 10 years or 20
IT IS the levels of return business takes from investments has broken the system.
To boot no one, and that really, really, means no-one has any idea how big or ridiculous the problem really is!
It isn't rocket science, it isn't unknown - plain simple institutionalised greed.
Take, take, take til nothing is left.
Oooo'er wha' apon :confused:
There is an underlying problem with valuation.
It affects everything - sorted out by gown ups - it addresses and fixes everything.
Of course a steady hand at a rock solid tiller won't suit the rip off merchants who are a bunch of immatures that hold far to much sway and influence.
Pay your TAXES - GROw UP!
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチ
In a global Market, there need to be Global Controls.
That does not mean a Financial Policeman on every corner and climate of fear.
Government and administration simply need to KNOW in measured terms what is going on and what is going where.
Simple argument isn't it - until you run into these clever 'asred' children who need to sneak everything 'cos' they never grew up.
There are a bunch of idiots rolling around business finance with heads high and reputation intact for the cods wallop they have brought about.
l can't believe they get away with this bullying but that's life.
Governments need a simple, reliable, robust means of keeping an eye on what occurs.
Not the Gestapo just diligent awareness.
AND some common sense, reliable, rock solid accounting rules.
Not the MumboJumbo which occurs now.
People who do not want that control are or plan to break the law. It's very simple logic.
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチ
..AND Finally. It really was simply a matter of time.
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aAeVSwaMsgDQ (http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aAeVSwaMsgDQ)
“Distressed opportunity in the U.S. is shaping up to be the best opportunity in a lifetime.”
$1.1 trillion in losses at financial firms globally and frozen credit markets helped drag the U.S., Europe and Japan into their first simultaneous recessions since World War II.
Bloomberg - Distressed assets offer the best investment opportunities this year as the global recession deepens, billionaire hedge-fund manager John Paulson said. “The decline in the market has created a very good buying opportunity,” Paulson, 53, whose New York-based Paulson & Co. oversees about $30 billion, said in a speech at a hedge-fund seminar hosted by Societe Generale and Lyxor Asset Management in Tokyo today. “Distressed opportunity in the U.S. is shaping up to be the best opportunity in a lifetime.”
Paulson said he’s focused on assets such as mortgages and debt from bankrupt companies, while in the equities markets he cited the utilities, consumer staples and pharmaceutical industries. Financial stocks remain risky, Paulson said. In the 15 years since starting its first funds, Paulson & Co.’s one down year was 1998. All his funds were profitable in 2008, with the flagship fund returning about 38 percent, compared with a loss of 19 percent for hedge funds worldwide on average. The 2008 returns came after his funds made more than $3 billion for the firm in 2007 by anticipating the collapse of the U.S. housing market and subprime mortgages.
Investors are chasing distressed assets after more than $1.1 trillion in losses at financial firms globally and frozen credit markets helped drag the U.S., Europe and Japan into their first simultaneous recessions since World War II.
Now the fun starts - Leverage any one? - loans anyone?
But, bbbut, bbbbbbut............ there's a credit crunch? - Oh really. HA F'ing HA!
herosrest
03-01-2009, 07:53 PM
Absolute-Return Funds Promise the Holy Grail (http://www.bloomberg.com/apps/news?pid=20601039&refer=columnist_quinn&sid=aHISy61O4hCc) Feb. 25 (Bloomberg) -- Gather round, children, to hear about the investments you’ve been waiting for. They suggest that you might get positive returns in any economic climate, regardless of whether stocks are going up or down.
Wait -- don’t run! It’s not Bernard Madoff or even R. Allen Stanford, the mini-Madoff, who allegedly bilked savers out of $8 billion in supposedly high-rate certificates of deposit. It’s sanctified by hedge funds and brought to you by America’s finest financial engineers. What could be more inspirational than that?
I’m talking about the mutual funds whose investment strategies aim to be “market neutral” or to deliver “absolute returns.” Morningstar in Chicago, which publishes fund data, currently has 28 of them on its list, up from a handful five years ago.
Now THEN! - The 7:47 at Lingfield runner 'Can't stop doing it' is a sure fire outsider. Put your shirt on it. Just in case............ spread a few seed bets around the favorites running in the other 5 races. You 'should' at least, come up even. Here borrow my laptop, work out yer odds.
Where is the difference in the two activities. There is none. None what so ever.
Different views of the activities exist BUT when the money being gambled belongs to millions and billions of other people you regulate and you never let up. You make certain that all dealings are straight forward, above board and honest. You do not bonus these AhSo's up for doing their days work. That is basically robbery, either by overcharging or short changing investors. Government must know what money is going where - end of story. Properly recognise this Financial industry for what it is. Immature, unstable riven with avarice and very ill people - and very, very dangerous. Oh yes. You TAx them, properly.
herosrest
03-01-2009, 08:14 PM
Any takers... l got a bet for ya. Even money only though.
A huge effort will get under way to take advantage of Knockdown US Asset prices, theory being things will settle and great wealth will change into a very few hands.
The bet, IT won't work. Value will continue to fall. It will remain at about 30% devaluation of late 2006 numbers. To maintain that constant deflation, time simply accelerates. 27 months. 6.1 Trillion (real estate)*, um..... that's, let me see now, hmmmm... ok but of course - when l win, you won't be able to pay up. Silly moi.
Time accelerates... what does that mean eh? :eek:
You all know, in your heart of hearts, the people at the pc's running the financial software assessing risk and profit are bombed, the software designers were too and the bosses. Yup, coked or whiskeyed up to their eye-balls. Have faith people. It's a wonderful ride!
* that is just real estate, ok. Much else is doing the same thing.
herosrest
03-03-2009, 08:29 AM
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An issue NOW - is the exposures brought about by Market to Market - re-valuation during a MARKET adjustment to over pricing. Business looking to protect itself from lnvestment fallout is taking down the entire economy in attempts to survive. Mark to Market accounting is the final lnsurance. It is flawed - fatally as a concept. There is no BOTTOM LINE - Devaluation is the repeating ONLY ACCOUNTING option - even for business doing well. IT IS A catch all nightmare!
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herosrest
03-03-2009, 05:23 PM
There are sane, logical - unbiased - people in the world. People who can step outside a problem and analyse dispationately. HERE IS ONE OF THEM. (http://www.marketwatch.com/news/story/dont-hang-your-homes-value/story.aspx?guid=%7B60A68D68%2D057D%2D4492%2D973A%2 D1096863E488B%7D&siteid=moren)
Here isn't - Jeffrey Miron expresses opinion in commentary on foreclosure and bail out. (http://www.cnn.com/2009/POLITICS/03/02/miron.housing.bailout/index.html?eref=rss_us)
"The desire to reduce foreclosures is also misguided because it perpetuates a flawed government policy: the attempt to expand homeownership. This long-standing U.S. obsession distorts market efficiency by shifting capital toward housing and away from factories or research and development. Thus rather than continuing this goal by giving more money to Fannie and Freddie, policymakers should eliminate those institutions along with all the other policies that favor homeownership. It was precisely government policies that encourage homeownership, combined with past bailouts of private risk-taking, that generated the financial crisis in the first place. The Obama plan to help homeowners will exacerbate this problem and generate a larger one in the future. It is time to learn from our mistakes."
This is a nutshell of the pro corporation Big Industry, Gods of Capital agenda that is part of a debate forming globally. It is the position of considerable numbers of people vested with interest in Big Business and worried - quite rightly - at goverments extending reach into everyday life. However business is doing exactly the same thing but with much beter PR and fog. A plague on both their houses if truth be known.
A truth. ln the US, business, Banks and Finance were 'asked' to find ways to enable and provide 'CHEAP CREDIT' to a very large market segment. Market size should have ensured success. Business did not do what it was asked to. It shafted the home owners with what has become a world wide phenomenon.
Higher and higher investment return demands as the costs of meeting derivative investment became an avalanche. That derivative Insurance is ultimately worthless and a plain simple gravy train of gambling. You cannot insure against business failure. Especially when the insurance, all 'buy' its self is going to break the bank.
Business did not provide cheap credit - it did the complete opposite and at the same time has raised costs across the board beyond any reasonable or sane margin. A huge gravy train of waste has been created - a dream land of spread betting insurances, several times the size of the planets actual wealth. Not so big a problem when things are humming along, just a large drain on cash flow and current accounts. Wait though now as those insurance bets begin an avalanche of redemptions and payouts. You ain't seen nothing yet.
The people running Banks and Finance are no different to you or me. Stupid when it comes to greed and self interest. This has been known for centuries, millenia even, and is why Government watches and regulates busines. Not the other way around. Unfortunately, in addressing a serious and embarrasing poblem with corporate greed at the likes of Enron, the solution is laying groundwork right now for economic collapse that will make 1930 look like a tea party.
Hi Lg..... :t Hehe, faxing a cat. Wrong mindsets at play again.
All non-secretarial people know it must be sent UPs. first you have to flatten it so it'll fit in an envelope...And of course Mireland gets to lick the stamps. http://www.virtualstampclub.com/2005/2005_garboart.jpg (http://www.youtube.com/watch?v=Q-Obdx0nnM0)
There are incredibly large - huge - amounts of lnvestment funding just sloshing around looking for the quick 'buck'. Anybody, anywhere, who thinks that is efficient way to run things - really should build a nice little mound of sand and enjoy themselves burying their head. You are being raped! :D
herosrest
03-09-2009, 10:03 AM
There are times when, even the highest placed, step back, review, 'fess up and take it on the chin!
It goes with the territory.
lf you cannot afford something, you go without or borrow or save.
YOU DO NOT REVALUE THE ITEM OF INTEREST. THAT IS CRAZY
IT IS A MISTAKE, so basic - it beggars belief!.
The people at SEC in charge of the ENRON fallout did their work. But.. if you assess Cox's background and training you can begin to see, where he and the accounting rules come from and their form........... they are MICRO practice applied to the MACRO economy - There is a disaster underway. Few non-bankers have heard of FAS 157 and 159, yet these are the regulations that will set the terms on which the banks will value their assets. The trouble with FAS 157 and 159 is that they are perfectly reasonable regulations in themselves which could have disastrous, though unintended, consequences. The disaster of these rules is masked by the Financial problems which were underway BEFORE the rules implemented. The effects of the rules are hidden by the general expectation that there is trouble in economies. It is much worse than it should be and is not realised yet. The damage being done is incredible. The people at the SEC are the exact same who dithered and trusted to human nature in the MADOFF case. WAKE UP IN the NAME of GOD! It isn't personal fault as such, just decent types in the wrong place at the wrong time. Short sighted micro-management of a global problem. The Rules in place now ensure, without any doubt, continued, accelerating and unstoppable devaluation of Asset Value. Stagflation it is called. It is happening because of the rules. No other reason.A far looser, broad based approach is required to regulation and controls. The current environment is a rigorous straightjacket with immense unforseen consequence. The unforgivable error that has occured was not throwing the book and bookshelf at those CAUGHT doing wrong. They should be rotting in HELL. A clear and present example. These corrupt people should have been publicly destroyed. There is no better deterrent.
The MADOFF case is a TEST!I can only advise that losing plots suggests the presence of a script........ now l ask, in all honesty ................. EDUCE'ms (http://www.merriam-webster.com/dictionary/educe)There is no (Ya know how, in this awe inspiring, powered up, non discretionary and discretionless world we built - just s'pose, just for a wee moment, suppose - The wonderous, all knowing, immense, rich and powerful beings that actually hold sway - designing the way of things and running the system, yada yada ya..... really did make a huge, immense, disastrous cock-up off immensity so huge that just none of them could live with honesty of 'fessing up.
The error, the mistake is left to run and run and run - 'cos the few, the high and mighty that understand, can't face the implications - it will ruin them to sort it out.l give you FAS 157 - 'Mark to Market' accounting - no one understands it and never will.
Economic destruction like you have never even dreamt possible. WGAF. :tclick (http://www.sysopt.com/forum/showthread.php?t=203036)Devaluing Assets of a troubled SECTION of the Home property market, probably makes reasonable sense to those in business seeing opportunity and to those threatened by defaults. However, flooding that devaluation across the entire market rather than the troubled sector is extreme folly. The national current accounts are destroyed. The implications are unbelievable. This has never been intended, let alone contemplated by any rational individual ever. It is insanity and gets fixed - 30 seconds after the people who can, can fix it.Once it is understood - it makes total sense as fact. There ain't no messing about. Oooooer, lets analyse it. That's been going wrong for quite a time now - human nature at it's worst. There's been a huge cockup - ooooooer, what do we do. Where is my pillow........... There is no brake with rules as they are. It just carries on. "More than two years after the US property bubble began to implode, prices of single-family homes there plunged 18.5 percent in December from a year earlier. That was the latest in a series of record declines." Way optomistic. Unless someone is planning a return to a precious metal based coinage - there has been a screw up the likes of which is ......... well, there aren't words. lt is not neccesary to understand FAS-157. All that matters is that it is ARBITRARY. It enforces a point of view! That point is to control market excess such as occured at ENRON. ln reaching a solution, an intellectual argument, that places a straight jacket to prevent abuse WIDER implications have not been assessed or understood. It is possible to assume the rules apply generally to all behaviour and can be applied broadly. The rules themselves are born of narrow perspective and are flawed. They enforce valuations based on price, ability to pay. lf you cannot afford something you go without or borrow. YOU DO NOT REVALUE THE ITEM OF INTEREST. THAT IS CRAZY> IT IS A MISTAKE, so basic - it beggars belief!.
http://graphics8.nytimes.com/images/misc/nytlogo153x23.gif (http://dealbook.blogs.nytimes.com/2008/07/01/blaming-the-bean-counters/) = Did an Accounting Rule Fuel a Financial Crisis?
http://www.fasb.org/images/header-logo9a.gif (http://www.fasb.org/st/summary/stsum157.shtml)
Summary of Statement No. 157
TIMES ON LINE (http://www.timesonline.co.uk/tol/comment/columnists/william_rees_mogg/article2852547.ece) November 12, 2007 - Why FAS 157 strikes dread into bankershttp://tbn0.google.com/images?q=tbn:Fq7UXyuGW--zmM:http://business.timesonline.co.uk/multimedia/archive/00394/Google_logo_394394a.jpg (http://www.google.com/search?client=opera&rls=en&q=fas-157&sourceid=opera&ie=utf-8&oe=utf-8)
herosrest
03-09-2009, 11:18 AM
http://www.theglobalist.com/images/pictures/Money/grunge_money.jpgCLICK PIC (http://www.theglobalist.com/StoryId.aspx?StoryId=7529)
What Is Really Killing the Big Banks?
" For those of you with normal lives not cluttered with acronyms related to obscure financial instruments, a CDS contract is essentially a form of insurance on a corporate bankruptcy or default. Less generously you could call it a gaming contract. The contract says that the writer of the insurance is obligated to purchase a bond issued by Ford or Citigroup from the buyer in the event those entities default. WHAMO!
SO FAILURE - BUSINESS LOSSES, are being insured. The purpose, beyond all the speel, is to maintain profit.
Profiting from lnsurance is illegal. It is a scam.
Even if insurers say differently and are accepting the premiums.
lt is not lnsurance it IS gambling.
herosrest
03-11-2009, 09:44 AM
Modern Economic theory explained
http://files.turbosquid.com/Preview/Content_on_5_6_2004_14_03_47/turbo1.jpg8338c1b7-8830-4c16-b2ad-92a21877b9b5Large.jpg (http://giddy.org/dbs/structured/LevFinarticle.htm)
Greeks are dimensions of risk involved in taking a position in an option (or other derivative). Each risk variable is a result of an imperfect assumption or relationship of the option with another underlying variable. Various sophisticated hedging strategies are used to neutralize or decrease the effects of each variable of risk.
Neutralizing the effect of each variable requires substantial buying and selling and, as a result of such high transactions costs, many traders only make periodic attempts to rebalance their options portfolios. Which is why it is all falling apart. The HIDDEN costs - insurance which is a fail safe has become a dominant COST. INSANITY RULES. The insurance (derivatives) is destroying the business. Ha ha ha! - They are all so clever.
With the exception of vega (which is not a Greek letter), each measure of risk is represented by a different letter of the Greek alphabet:
Δ(Delta) represents the rate of change between the option's price and the underlying asset's price - in other words, price sensitivity.
Θ(Theta) represents the rate of change between an option portfolio and time, or time sensitivity.
Γ(Gamma) represents the rate of change between an option portfolio's delta and the underlying asset's price - in other words, second-order time price sensitivity.
ϒ(Vega) represents the rate of change between an option portfolio's value and the underlying asset's volatility - in other words, sensitivity to volatility.
ρ (Rho) represents the rate of change between an option portfolio's value and the interest rate, or sensitivity to the interest rate.
*** We can all realise now, (hindsight is so easy) that VEGA is all important. The dominant factor is ignored.
Here's a theory and set of rules to implement it................ :rolleyes::rolleyes: hmmmmmmm
Idiots have been at work. They still are.
It is blatantly apparent that ϒ(Vega) is in disregard.
Yup Vegas went on holiday and left the rest of us with a some vices. :p
mireland
03-11-2009, 07:07 PM
blow it out an orifice of your choosing...
herosrest
03-14-2009, 01:43 PM
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10% earnings per share - 13% RoE. Get some NOW!
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'Enterprise (http://www.openaeuropeancompany.com/images/offshore.jpg)' providing '10% earnings per share - 13% RoE' is to all intents and purpose doubling size each 3 to 4 years. Regardless of where 'earnings' go, the business is squared² each very few years. There is the BUBBLE that is bursting. Capital invested is ultimately accounting squiggles allowing business to survive its bottom line. The logic of business practise was stood on its head by accounting change. Were 13%/10% realistic or even honest............. the entire planet would be invested. It is not. This type of return is UNREAListic.
These numbers 13% and 10% are about Capital retention. Very much more is going on than meets the eye and very close scrutiny of costs, borrowing, leverage and off-shore dealing and remunerations is neccesary. It is very, very easy that such generous reward becomes Pi in the eye for investor Capital, which is ultimately the squiggle of an accountants pen. Nothing more.
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;)--Be Well! Be Free! Luv a TREE (http://www.molybank.com/images/asset-protection-graphic.gif).----
werz
03-14-2009, 08:15 PM
Madoff id thought to have $$865million. Stashed away.
A nice little earner there, Terry me boy, you'll get an extra fiver for helping me with that.
herosrest
03-16-2009, 04:16 PM
We'll get to the bottom of that thieving skank's plays shortly.. clever guy is old Bernie... think busted flush! No one is interested in the discards.
US plan to purge toxic assets takes shape.
Neat read (http://www.khaleejtimes.com/biz/inside.asp?xfile=/data/biztalk/2009/March/biztalk_March22.xml§ion=biztalk)If an artificial market is the answer, why not create a proper one along tried and tested paths. Cap and Trade.
Short-covering - investors buy stocks to offset short trades, where investors borrow stock to sell right away, hoping to buy the same shares back at lower price, profiting from the decline.
JUST SOME ANALYSIS - chaff in the wind. Dollar bundles from helicopters. "CreditSights has an interesting analysis of the latest US Flow of Funds data that implies a dramatic reduction in lending to consumers and businesses in the next several years.
Household debt contracted at an annual rate of 2 percent in the fourth quarter but actually rose as a percentage of GDP, from 73% to 73.6%. Household net worth was $5.1 trillion less than in the previous period. Nonfinancial business debt rose at an annual rate of 1.75 percent in the fourth quarter to just above 50% as a percentage of GDP. The market value of corporate assets declined by $470 billion during the 4Q08 to $28.3 trillion as holdings of real estate fell by $446 billion. Federal government debt surged at an annual rate of 37 percent in the fourth quarter, similar to the third-quarter pace. In 2008, federal government debt rose more than 24 percent, after a 5 percent increase in 2007.
The end game in this scenario is most likely going to be a dramatic reduction in lending across both the consumer and the corporate universe that plays out over the next several years. Quarter-on-quarter nuances and revisions aside, the Flow of Funds data provides one of the clearest pictures of aggregate long term borrowing trends available and it points to a reality of borrowing being at historically high levels and in clear need of a corrective downtrend to a more sustainable path. For the full analysis see Flow of Funds becomes Outflow of Funds." CLICK (http://seekingalpha.com/article/126202-flow-of-funds-implies-dramatic-cut-in-u-s-lending?source=article_lb_articles)
herosrest
03-16-2009, 11:55 PM
After weeks of hearing that a bear market rally was just around the corner, investors watched the market go around that corner. Some of the enormous amount of cash that had been sitting on the sidelines suddenly plunged into the pool, giving stocks the kind of boost they hadn't seen in months.
( :D Life rafts are available only from 1st class passenger decks. Please note - Access is restricted to crew embers only...................... :D )
Analysts and fund managers stopped talking about what they would do when the market turned around, and began talking about whether the action was that bear market rally — or something more substantial. Courtney Reagan recalls some of their more memorable predictions, projections, and explanations in this edition of "The Week and You:" Bear Market Rally, or Something More (http://www.cnbc.com/id/29679299)
March end is a period when many begin that look ahead to a new financial year. That begins April. Enthusiasm is so wonderful. Shorting will kill anything that moves in this market. The pro's are trying to survive - profit is no longer the name of their game! __________________________________________________ __Shark's harpooning Whales!
herosrest
03-17-2009, 01:06 AM
http://craphound.com/images/aigderivateives.jpeg (http://www.boingboing.net/2009/03/09/aig-has-insured-16-t.html)
AIG Risk & Bankruptcy Report (http://www.boingboing.net/2009/03/09/aig-has-insured-16-t.html) AIG's $62 billion quarterly loss last month was bad -- turns out that the company has a further $1.6 trillion in outstanding derivatives exposure, according to this leaked memo that AIG sent to the US Treasury in order to beg for another $30 billion. Aig Systemic 090309____チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモ ンチチ
AIG is selling assets to raise cash. Interesting stuff, the World's major Insurer sold it's......... Re-insurance arm to Swiss-Re. :rolleyes: Pure genius.
Swiss Re acts as a reinsurer to the AIG Group companies and has invested in various securities issued by AIG.
Swiss Re estimates its exposure (excluding reinsurance) to AIG at approximately CHF 200 million .
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A Swiss private bank available for sale doesn't happen often, AIG's was gobbled up. Founded in 1965, AIG Private Bank was a vehicle for the funds of top AIG Group executives and broadened into a traditional Swiss private bank.
Net profits at the bank, which has about 530 staff, were SFr31.3 bn in 2007, SFr36m in 2006, assets of SFr21bn($18bn) were under management at the end of last year. Interestingly - just one of those things - had that Swiss based business remained part of AIG, then you would expect those $18bn assets to be ??? written down ??? :p.
The bank, based in Zurich, has operations in Hong Kong, Singapore, Shanghai and Dubai. Among the parties which showed initial interest was Bank Sarasin, the Basel-based private bank controlled by Rabobank of the Netherlands. AIG Private Bank recently set up Bank Zweiplus, a cost-cutting JV with Sarasin to handle smaller clients, in which it has 42.5%. AIG Private Bank will continue to be run by its present management, but will be rebranded. No new name has as yet been revealed.
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Swiss Re estimates its exposure to the Lehman Brothers Group at approximately CHF 50 million. Berkshire Hathaway has increased its stake in the world’s second-biggest reinsurer, Swiss Re. Warren Buffet’s investment vehicle is injecting SwFr3 billion into the group. January of last year, Berkshire Hathaway took a 3% stake in Swiss Re and secured a reinsurance contract with the group, which had been hit by writedowns from the sub-prime crisis and losses on its investment portfolio. The company last year bought an insurance unit from U.K. bank Barclays PLC.
Jacques Aigrain, whose push for growth at Swiss Reinsurance Co. ended with big losses and a plummeting share price, said faltering investor confidence in his leadership left him little choice but to tender his resignation as chief executive. Aigrain, a former J.P. Morgan Chase & Co. banker joined Swiss Re in 2001 and became CEO in 2006. Six billion francs were lost on swaps and other activities in 2008
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MetLife made a preliminary offer of $11.2bn for American Life Insurance Co., according to Bloomberg - an asset that last autumn might have been expected to fetch nearer $20bn.
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Joseph Cassano graduated from Brooklyn College in 1977 with a degree in political science. He later worked two years at Drexel Burnham Lambert, the defunct investment bank. In 1987, AIG hired him to help found the financial products unit.
Cassano’s business drew attention from authorities. In 2004, he signed an agreement on behalf of the company to defer prosecution on a charge of aiding and abetting securities fraud. U.S. prosecutors alleged the unit helped Pittsburgh-based PNC Financial Services Group Inc. improperly remove assets from its balance sheet. AIG paid $126.4 million to resolve the case.
Cassano’s unit sold credit-default swaps on securities backed by corporate loans, mortgages, auto loans, credit cards and other assets. Those securities, known as collateralized debt obligations, are sliced into layers carrying different risks. AIG sold credit protection on the top layer, or AAA-rated portion, which is typically the last to suffer in a default.
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチHouseho ld debt contracted at an annual rate of 2 percent in the fourth quarter but actually rose as a percentage of GDP, from 73% to 73.6%. Household net worth was $5.1 trillion less than in the previous period.
Nonfinancial business debt rose at an annual rate of 1.75 percent in the fourth quarter to just above 50% as a percentage of GDP. The market value of corporate assets declined by $470 billion during the 4Q08 to $28.3 trillion as holdings of real estate fell by $446 billion.
Federal government debt surged at an annual rate of 37 percent in the fourth quarter, similar to the third-quarter pace. In 2008, federal government debt rose more than 24 percent, after a 5 percent increase in 2007.
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herosrest
03-17-2009, 10:24 PM
AIG is going to explode. Soon. It's a people thing.
Who threw Madoff to the wolves???
A li'l jaunt in the country. (http://www.newsoftheworld.co.uk/news/article43510.ece) ______Some business over lunch. Strategy, futures, ambitions and goals. Mess, what mess?
......we're out' ta here. http://www.newsoftheworld.co.uk/multimedia/archive/00011/fatcat_04_11126a.jpg (http://www.newsoftheworld.co.uk/news/article43510.ece)
Starr International poaches AIG executive (http://www.insurancedaily.co.uk/2009/03/12/starr-international-poaches-aig-executive/)
March 12, 2009 - Starr International appointed AIG’s chief reinsurance officer Charles (Chuck) Dangelo to three executive positions. His departure follows a growing number of AIG executives leaving for positions at other insurance companies. Dangelo takes up the positions of chief executive for Starr Indemnity and Liability, chief executive of Starr Excess Lines Insurance, and director and chairman of Starr Insurance and Reinsurance.
All three companies are subsidiaries of Starr International, which is headed up by former AIG boss Maurice ‘Hank’ Greenberg.
Commenting on the appointment, Greenberg said: “Chuck will assist us in developing the business in a deliberate and professional manner, and his decades of his experience will help Starr accelerate its growth.”Greenberg was forced out of AIG in 2005 after an accounting scandal and gov't investigations. Since his departure, he has been extremely critical of AIG’s management, especially regarding the government bailout. “If you think that is a way to save a company, then we have a disagreement,” he said. “That’s a way to liquidate a company, not to save a company.”
Hank Greenberg - (click ) (http://www.sysopt.com/forum/showpost.php?p=1470644&postcount=16) architected AIG Financial Products, the CDS business operation and compensation were set up under him. Greenberg hired a group of traders that had worked together at Drexel Burnham. He would later promote Joseph Cassano to lead the unit, which became a sought-after employer since it offered to share a third of all its profits with staff. Cassano is now at the centre of U.S. and UK probes into what happened at AIG Financial Products.
Since 2001, compensation at AIG's financial products unit ranged from $423 million to $616 million each year. A freewheeling 377 person unit in London, flourished in a climate of opulent pay, lax oversight and blind faith in financial risk models. Over all, A.I.G. Financial Products paid its employees $3.56 billion during the last seven years. No one realised anything might be amiss, it wasn't was it. Smooth plain sailing. Who would not trust the boss of an AIG Insurance unit.
December 2007 AIG's accountants insisted the company mark to market, an immediate $5 billion write-down resulted.
Ultimately the scale of problems at AIG were the result of a single oversight. AIG Financial Products business was not RE-insured. Their exposures were not Hedged against risk.
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Ten years ago, a “watershed” moment changed the profile of the derivatives that Mr. Cassano traded, according to transcript of comments he made at an event last year. Derivatives specialists from J. P. Morgan, a leading bank that had many dealings with Mr. Cassano’s unit, came calling with a novel idea.
Morgan proposed the following: A.I.G. should try writing insurance on packages of debt known as “collateralized debt obligations.” C.D.O.’s. were pools of loans sliced into tranches and sold to investors based on the credit quality of the underlying securities.
The proposal meant that the London unit was essentially agreeing to provide insurance to financial institutions holding C.D.O.’s and other debts in case they defaulted — in much the same way some homeowners are required to buy mortgage insurance to protect lenders in case the borrowers cannot pay back their loans.
Under the terms of the insurance derivatives that the London unit underwrote, customers paid a premium to insure their debt for a period of time, usually four or five years, according to the company. Many European banks, for instance, paid A.I.G. to insure bonds that they held in their portfolios.
Because the underlying debt securities — mostly corporate issues and a smattering of mortgage securities — carried blue-chip ratings, A.I.G. Financial Products was happy to book income in exchange for providing insurance. After all, Mr. Cassano and his colleagues apparently assumed, they would never have to pay any claims.
Since A.I.G. itself was a highly rated company, it did not have to post collateral on the insurance it wrote, analysts said. That made the contracts all the more profitable.
These insurance products were known as “credit default swaps,” or C.D.S.’s in Wall Street argot, and the London unit used them to turn itself into a cash register.チチャットモンチチャャットモンチチャットモンャットモンチチャットモンチチャットモン チチャBehind Insurer’s Crisis, Blind Eye to a Web of Risk (http://www.nytimes.com/2008/09/28/business/28melt.html?_r=1&pagewanted=all)
CLICK PIC http://www.propublica.org/images/articles/ap_aig_london_081010.jpg (http://www.propublica.org/article/former-aig-exec-at-center-of-meltdown-got-paid-millions-for-little-work-101)
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Financial shuffle (http://www.thefreelibrary.com/Financial+shuffle:+UBS+star+moves+to+Smith+Barney.-a0152575140)
Andrew Ross Sorkin (http://topics.nytimes.com/top/reference/timestopics/people/s/andrew_ross_sorkin/index.html?inline=nyt-per) - April 29, 2008 - Junk Bonds, Mortgages and Milken ğ (http://www.nytimes.com/2008/04/29/business/29sorkin.html) “The financial crisis we’re in today stems from the invention by Drexel Burnham Lambert of the junk bond,” Martin Lipton, the superlawyer who co-founded Wachtell, Lipton, Rosen & Katz, said derisively at a conference last month. “You can draw a straight line from Drexel Burnham to the financial world today.”
Was Mr. Lipton right? - On Monday, I found myself sitting across from Michael R. Milken, the onetime “junk bond king” of Drexel. In a blue suit, lavender shirt and reddish power tie, Milken was presiding over his annual conference at Beverly Hilton and offering opinions on the credit mess.
“We’ve had plenty of trillion-dollar losses before,” Mr. Milken said nonchalantly. Then, playing the role of a Zen master, he added: “The question is whether the future will be like the past.”
Frankly, Mr. Milken, who is undoubtedly brilliant, can be a pretty bland speaker. But what caught my attention was a 10-page paper he wrote last week that dissects the current state of the markets.
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Spitzer Takes Aim at ‘Real Disgrace’ at A.I.G. (http://dealbook.blogs.nytimes.com/2009/03/17/spitzer-takes-aim-at-real-disgrace-at-aig/)Eliot Spitzer must miss his glory days when he was the scourge of Wall Street as New York’s attorney general (and not that upstart Andrew M. Cuomo). With the bonus battle exploding at the American International Group, Mr. Spitzer has jumped into the fray — and dismissed the bonus scandal, arguing that it is obscuring the “real disgrace” at A.I.G.
“Why are A.I.G.’s counterparties getting paid back in full, to the tune of tens of billions of taxpayer dollars?” he asks in an article on Slate.
Mr. Spitzer notes that A.I.G.’s trading parties were all the big banks including Goldman Sachs, many of which received billions of dollars from the government’s Troubled Asset Relief Program. “So now we know for sure what we already surmised: The A.I.G. bailout has been a way to hide an enormous second round of cash to the same group that had received TARP money already,” he writes.
“It all appears, once again, to be the same insiders protecting themselves against sharing the pain and risk of their own bad adventure,” Mr. Spitzer writes.
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AIG’s losses of $10 billion (http://topnews.us/content/2731-aig-s-soured-trades-result-losses-10-billion) - 12/10/2008 - AIG'S rescue plan calls for a company funded largely by the Federal Reserve to buy about $65 billion in troubled CDO securities underlying the credit-default swaps. There are no actual securities backing the speculative positions that the insurer is losing money on, as these bets were made on the performance of pools of mortgage assets and corporate debt. AIG finds itself having to raise funds to pay off its partners because those assets have fallen significantly in value.
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werz
03-17-2009, 10:57 PM
If you see a private jet at auction going for 10k let me know.
herosrest
03-17-2009, 11:00 PM
second hand V-bomber, maybe? :D
werz
03-17-2009, 11:23 PM
Don'tcha just love the way they do things in Big Business.
From Hero's link. $180 Billion now I think.
One of the biggest reasons [1] for AIG's near failure -- a collapse halted by a government bailout of $120 billion and growing [2] -- was the ballooning losses of a tiny subsidiary called AIG Financial Products. The unit was run by one Joseph Cassano [3], who resigned in February after his unit, which dealt in credit default swaps [4], posted $11 billion in losses. (The New York Times says February is also when AIG auditors "identified problems in the firm's swaps accounting [5].")
But when Cassano left, AIG gave him a sweet deal. Not only was he allowed to keep up to $34 million in unvested bonuses, but the company hired him as a consultant at the staggering fee of $1 million per month.
Such compensation arrangements are common for departing executives, says Jesse Fried, a professor at the UC Berkeley Law School. Fried noted that such agreements usually don't actually require that the execs do any work, and frequently the executives don't.
What happens to all the people who lost their jobs, lost 40% from their pension fund and 35% from the value of their property, if they haven't been evicted.
What happens to them is......
They get to pay these same criminals, that destroyed the economy, trillions of dollars to bail them out, and keep them in the lifestyle they are accustomed to.
What a great system.
werz
03-17-2009, 11:28 PM
second hand V-bomber, maybe? :D
No thanks, even if I converted the bomb bay into passenger seats, I never be able to afford to run the four Olympus jet engines.
herosrest
03-17-2009, 11:51 PM
Don'tcha just love the way they do things in Big Business.
From Hero's link. $180 Billion now I think.The numbers are so ridiculous now, they are themselves a twisted con.......... 1% of 180 Billion is 1.8bn.
Doesn't seem a lot, just numbers. But 1,800,000,000 is 40,000, 45,000 times. That is some 45,000 average wages for a year.
A financial whizz though, doesn't think that way. That 1% is his COMMISSION.
You can take it guaranted that banks handling the stimulus are taking tiny percentage in fees. :rolleyes:
Which is why everything is screwed up to buggery. :t
werz
03-18-2009, 08:18 PM
We all want things to change and the guilty brought to justice, but it'll never happen.
http://www.larouchepac.com/node/9649
The whole world system is bankrupt, and must be put into bankruptcy reorganization by the governments," LaRouche concluded. "`But that's socialism!' some will scream. `I stole it fair and square. You can't take it from me!'" But we can. It is high time for a new Pecora Commission.
In 1939 Ferdinand Pecora published his memoirs that recounted details of the investigations. Titled "Wall Street Under Oath", Pecora wrote: "Bitterly hostile was Wall Street to the enactment of the regulatory legislation." As to disclosure rules, he stated that "Had there been full disclosure of what was being done in furtherance of these schemes, they could not long have survived the fierce light of publicity and criticism. Legal chicanery and pitch darkness were the banker's stoutest allies."
herosrest
03-18-2009, 08:58 PM
The odd thing is the arrogance. It's a game of survival going on with the big guys and they've messed up as well. Diminishing return. That is what they are doing now and it is perfectly the natural course for the logic is completely twisted. The system is eating itself from the inside out.
werz
03-19-2009, 12:11 AM
The odd thing is the arrogance. It's a game of survival going on with the big guys and they've messed up as well. Diminishing return. That is what they are doing now and it is perfectly the natural course for the logic is completely twisted. The system is eating itself from the inside out.
The crazy part is the government paying for the banks and hedge funds gambling debts.
This is what happens when the government doesn't run the country, but the bankers do, because they've bought all the politicians with donations to the pollies election funds, which is basically bribery.
The Israel lobby or to be more accurate, the Likud party lobby is also manipulating all our governments.
We can elect one of two choices, and they're both owned by the same lobbyists.
herosrest
03-19-2009, 01:16 AM
I understand that stuff Werz, USA though is USA to do with as they please. That's the way it is. Lobbying goes on everywhere and it seems a process of privelage. America is the way it is. Proud and in your face. The finance stuff seems utterly crazy from 3000 odd miles away and it 'seems' that Government, for a while, needs to remind a good few of the well off upper-money, who actually is in charge.
Sitting down with notepad and pen, messing the numbers, you can see what is happening while they are all pulling in different directions. l hope Obama just tires of it and puts a foot down. Difficult thing that, in a democracy, without giving offence.
No-one seems to actually realise how fast this whole system of trade will just fall apart! ***
Never forget why Japan went to war in 1941. It was over Trade.
The Germans as well, actually.
*** Oh hi there, i was just passing and thought i'd drop in. Well now, ............
werz
03-19-2009, 02:28 AM
Of course they can do as they please, but almost everything being written about the financial crisis is being written about Americas efforts to contain it.
And most of what's being written is against what Obama is doing, and criticizing his links to Wall st, and his bailout as a continuation of Bush's failed policies.
What the US does has far reaching effects on the rest of the world, it's in all our interests they get it right.
And the American people suffering is wrong, just as much as anyone who will suffer because of the lack of regulation has been hurt because of crooked practices.
And the devious news services using their money shows to con people in to investing or holding on to shares they knew were tanking, and it takes Jon Stewart to bring it up, for people to take notice of this criminal behavior.
Hermes, famous for its handbags and silk ties, proposed a dividend of 1.03 euros, up from 1 euro the previous year.
It said all regions had registered growth except for Japan, which is traditionally one of the largest markets for luxury goods.
Same-store sales in Japan fell 3% last year.
But the company was boosted by strong demand for its products in the rest of Asia, Europe and the US.
Asian sales were up 22% after the company opened three new stores in China and its first in India, in New Delhi.
Sales rose 7% in Europe at stores that have been open for at least a year, while sales increased 15% in the US.
Hermes, owners of English shoe maker John Lobb (http://www.johnlobb.com/), increased its stake in the French fashion design house of Jean-Paul Gaultier to 45% from 35%.
The company also said it planned to expand and renovate or open 20 outlets in 2009, mainly in the US and Asia.
http://glamgirlcars.com/wp-content/uploads/2008/04/bugatti-veyron-hermes-side-view.jpg (http://glamgirlcars.com/manufacturers/bugatti-veyron-fbg-par-herms-geneva-2008/)
herosrest
03-20-2009, 02:14 PM
http://media.cnbc.com/i/CNBC/Sections/News_And_Analysis/__Story_Inserts/graphics/__COMPANY_IMAGES/S/SEC_logo_1.jpg (http://www.cnbc.com/id/29791210)
SEC staff analyzing data are focused on credit derivatives such as credit default swaps used to manipulate equity prices.
Enquiry has been split into "six separate investigations, which are proceeding as expeditiously as possible.''
They still have the readies to buy expensive everything, even after losing tens of trillions of dollars.
http://tbn2.google.com/images?q=tbn:MXciL8nFRPWfaM:http://www.sybarites.org/wp-content/uploads/2007/07/hermes1928watch.jpg
Only ten pieces will be available exclusively at the Hermès store on Wall Street.
Thanks for the link Hero.
Maybe JM can sell his silk undies on Wall st for fifty quid a pair.
herosrest
03-20-2009, 07:14 PM
JM will do better in the 'silk purse' market - he has many contacts and leads.
Significant numbers of people believe they are 'elect'. Superior, this is because of their wealth. They are exclusive, goverment gets in the way of their wealth creation so government must go. This is the insanity of greed, Avarice it is called. Wandering around all day, money, money, mummy! Government 'should' simply put its foot down and disgrace these sick people, perhaps aid in curing their addiction which is no more or less than alcoholism or drug abuse. Greed is fueled by both and is mental illness. oooooh! I've got pots and pots of money. That means I must be clever, brilliant actually. That means i'm right. That means i do as i please. That means........... hmmm, these straps are a li'l tight around back. :(
Derivative Finance and Trading is not new.
It's been around long time and has been the major innovation of the last 20 years as electronic ticking rolled out.
It drove ALL growth. ***
Stomping on it as accounting rule changes have, and Investment sheenanigans avoiding consequences led to disaster. The disaster has already hit - it will just trickle in slowly over the next 6 months, woe after woe until....... the handful of 'ok, it's ok. Really.It will be ok......... ' Leaders of Governments are dribbling and fingering bottom lips. "wot da funck.... oh my good sainted aunt - the bottom fell out.
Actually it didn't fall out, 'bottom line' was simply removed from economic theory. PURE spite!
*** Derivative Finance and Trading is not new. It's been around long time and has been the major innovation of the last 20 years.
It drove ALL growth.
*** - Human nature being human nature - the rewards were too good to tip the hat - regulation free, the derivatives and basket cases went 'nana's. Government hands off - missed out on taxation of a millenium, enough to sort all ills AND they threw away the keys to MONEY SUPPLY. When is a swap actually an insurance. Mumbo Jumbo and Gobbledeegeek rule!
A healthy vigorous derivative industry is essential, actually paramount to any recovery. It must be reigned in, monitored and controlled to ensure honesty of insight and information. It must comply with the rules. It must be taxed - it is speculation in the form of insurance. We screwed up - you pay!
Finance attracts the scum of the earth and corrupts even angels.
The barrow boys need a good kicking and sorting out. They are ah so's!
Also, quite a few of the Bankers and Super rich think they are God like.
Wonkers.... stuff yer money where the sun don't shine. You are sick people._Greed. Take, take, take.. oh dear, there's nothing left.
A quote - "...... as class action law suits to come will demonstrate, CDSs raise some challenging disclosure issues even as the law and accounting regulations now stand. David Loweth, technical director at the Accounting Standards Board, points out that IAS 1 (to get back to bedrock) requires the disclosure of the substance of transactions, irrespective of whether they result in assets or liabilities being recognised, so as to enable the user of accounts to understand the commercial risks involved.
So while the spotlight starts to shine on the darkest corners of the CDS market, we can but lament the fact that all that we know now hadn’t been brought out in broad daylight ages ago.
werz
03-20-2009, 07:20 PM
The barrow boys need a good kicking and sorting out. They are ah so's!
I'd trust "Del boy," and "Rodney, you plonka," before any of the spivs working down Wall st and Threadneedle st.
herosrest
03-20-2009, 09:51 PM
Business looks after Business, which is its self, bosses, then staff and investors. Business will rarely be completely honest in disclosure. Self interest rules. It is naive to believe that the bonus'd up floor staff and button pushers at AIG, who sailed into the bailout mess and generated the worlds biggest ever 'stimulus' :rolleyes: were part and ''party" to the bosses intent, strategy or purpose. Government responds to business as it equally does individuals and other lobbies. It is common sense not to trust corporation bosses much further than accepting how much they need or what they want changed. Explanations and justifications will always be plausible fact - just never true. These guys didn't get where they are today kissing babies and telling truth.
There is a basic point that lies buried, deeply at the bottom of the wishing well. All these exorbitant bonus and jaunts and perks and.... yup salary...are at the investors expense and achieved by 'overcharging' clients and customers. This is the transparency that is lacking. If this aspect of business and trade was truly transparent - the fun and games take a decided twist towards reality. http://tbn0.google.com/images?q=tbn:2W70U0J3onTMPM:http://images.cb2.com/is/image/CB2/StainlessSteelBalls%3F%24lg%24 (http://www.mustangworld.com/forums/showthread.php?t=595349)
"GUTS"---- is arriving home late after a night out with the guys, being assaulted by your wife with a broom, and having the guts to say, "are you still cleaning or are you flying somewhere?"
"BALLS"---- is a late home night out smelling of perfume and beer, lipstick on your collar, slapping your wife on the *** and having the balls to say, "You're next!"
herosrest
03-20-2009, 10:05 PM
£1.9 trillion of UK household wealth wiped out since July 2007 - you wouldn't believe the US numbers.
A 28% drop in wealth held in housing and equities has erased £1.9 trillion of UK household wealth since the beginning of the credit crunch in July 2007, PricewaterhouseCoopers estimates. This works out to around £40,000 per adult, according to PwC, although it concedes that this estimate of loss would vary "considerably" across the UK population. In total, a staggering 13% of Britain's GDP has been wiped out. PwC estimates that this could ultimately reduce UK expenditure by up to £45bn, or 3% of GDP.
The losses comprised a 20% drop in house prices, totalling £800bn, with the £1.1 trillion that has been subtracted from the stock market since mid-2007.
There's that 30% again. I still cannot believe how dumb this whole mess is. UNREAL.
herosrest
03-21-2009, 01:25 PM
Profound and unavoidable consequences remain to settle on those responsible.
Here is the simple problem of economics that is overlooked.
At least the banks now, are re Capitalising......... hehe, think again. They are clearing up their own debt.
All those hundreds of billions in the middle of a recession are useless. There is no Capital to invest in sensibly
and only speculators or business in trouble wants to borrow. Everything is devaluing.
Buy it now it's worth less next week. Shrinking markets, ......??? Take a risk. :rolleyes: Hmmmm... i should get insurance!
At some point, people will start drawing down their assets...
_______________________________________________and then the game of survival starts all over again.
Those people will be Nations and corporations.
Profound and unavoidable consequences remain to settle on those responsible.
http://www.historic-uk.com/HistoryUK/Kenilworth-NormanLife2006/Helmet2.jpg (http://www.sysopt.com/forum/showpost.php?p=1471690&postcount=70)
Shoot FAS-157 NOW! - Profound and unavoidable consequences remain to settle on those responsible.
Accountants are the Compliance officers meant to ensure that business is playing by the rules.
From sublime to ridiculous now - new accounting practise has crippled business.
Pro or anti the derivative Trading mess that developed - it shouldn't have developed, Audit by accountants should have alerted to problems of huge significance - years before the issues became problems.
Accounting failure. Accounting failure. Accounting failure.
Accountancy - Honesty is the territory. Transparent honesty and feilty.
fealty _______________________________ feilty
fe⋅al⋅ty [fee-uhl-tee] –noun, plural -ties. Olde English - feilty
1. History/Historical. a. fidelity to a lord.
_________________b. the obligation or the engagement to be faithful to a lord,
___________________usually sworn to by a vassal.
2. fidelity; faithfulness. - Origin: 1275–1325; ME feute, feaute, fealtye
__< AF, OF feauté, fealté < L fidēlitāt- (s. of fidēlitās) fidelity; internal -au-,
__-al- from feal, reshaping (by substitution of -al- -al 1 ) of fe(d)eil < L fidēlis______Synonyms: - Loyalty, Devotion.
herosrest
03-21-2009, 09:40 PM
Nicely done Newsweek (http://www.newsweek.com/id/190340?from=rss) - If the United States follows the norm of recent crises, as it has until now, output may take four years to return to its pre-crisis level.
The news on housing prices and the stock market is arguably a little better, mainly because there has been so much damage already. The typical fall in inflation-adjusted stock prices is 55 percent, a benchmark the U.S. has more or less achieved. The typical decline in housing prices is 36 percent. According to some indicators, inflation-adjusted housing prices have already fallen roughly 30 percent. The bad news is that these down price cycles typically last for several years. So, even if the big hit on stocks and house prices has come already, the bottom might not be reached until the end of 2010.
..... forecasts may seem somber, but so far the U.S. experience has mirrored past deep banking crises around the world to a remarkable extent.
Financial crises don't last forever. But this one could last a lot longer if policymakers don't start basing actions on realistic assessments of where we are and what is still to come. _________......(Or what the problem, actually is!)
To-day, More money is available to lend, more cheaply, than ever before. So why is there a problem?
l know.. go stand in the corner. Stupid! :(
werz
03-22-2009, 05:34 AM
They're predicting we won't reach the bottom for two years.
The commercial real estate is now collapsing and will lose a few trillion in value as companies close and no one takes over the lease..
herosrest
03-22-2009, 09:15 PM
MBA to Seek Delay of Appraiser Code Implementation (http://www.imfpubs.com/issues/imfpubs_imf/26_11/news/1000011087-1.html) - The Mortgage Bankers Association is planning to ask Fannie Mae, Freddie Mac and their regulator to delay implementation of a controversial appraiser code of conduct slated to take effect May 1. The trade association is concerned that there are too many procedural obstacles to the implementation of the Home Valuation Code of Conduct and that neither the Federal Housing Finance...
"Dear Secretary Geithner and Secretary Donovan: ...... ____________________ February 23, 2009 (http://209.85.229.132/search?q=cache:zFiLeJTghXkJ:www.mbaa.org/files/AU/2009/MBALetter_HASP_2-23-2009.pdf+MBA+to+Seek+Delay+of+Appraiser+Code+Imple mentation&cd=3&hl=en&ct=clnk&client=opera)
On behalf of the Mortgage Bankers Association(MBA), we greatly appreciate your efforts and
those of the administration to restore vitality to the U.S. financial system and the housing
market, including through the recently announced Homeowner Affordability and Stability Plan
(HASP). While the economic challenges facing this country are historic in magnitude, MBA
believes they can be conquered with a combination of determination and cooperation of public
and private sector resources. MBA stands ready to work with the Department of the Treasury
(Treasury) and the entire administration to return the housing finance system to health.
MBA agrees with the majority of the conceptual underpinnings of HASP,
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチFinanci al Markets Continue To Slow Housing Activity (http://www.nahb.org/news_details.aspx?sectionID=0&newsID=8775) - March 12, 2009 - The National Association of Home Builders (NAHB) told Congress that the housing sector is still being significantly affected by the upheaval in the financial and mortgage markets that started in 2007, and there is deep concern that these financial dislocations will increase the depth and length of the housing downturn.
チャTestifying before the House Financial Services Subcommittee on Financial Institutions and Consumer Credit, NAHB Chairman Joe Robson, a builder from Tulsa, Okla., said that coordinated regulatory efforts among federal and state agencies are necessary to ensure prudent lending practices and effective consumer protections while facilitating efficient operation of the residential mortgage markets.
チャ“NAHB supports efforts to ensure that mortgage lending occurs in a safe and sound manner and that abuses in lending practices are properly addressed,” said Robson. “However, it is imperative that any steps taken in this effort do not inadvertently or unnecessarily disrupt the mortgage lending process or consumer financing options, or increase the costs or reduce the availability of mortgage credit.”
チャNAHB urged Congress to implement a clear national framework for mortgage origination standards to replace the current patchwork of state and local laws, which often lead to unnecessary restrictions on mortgage credit.
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I have mentioned before, THAT - valuation has become a very dark ART. It has been hi jacked (http://files.myopera.com/herosrest/albums/634358/jackbig.jpg).
The reasons for the hi-jack are simple - it is not difficult to fathom.
チャ As matters stand, a market exists for property on sale. This includes existing property where owners wish to sell, distressed property where lenders wish to sell, newly built property and empty property for sale or rent. So, there's the market. An active market of property - for sale. That amounts to considerably less than 10% of all property at any given time.
チャ The valuation process has been hi-jacked and corrupted by those investing in the active market of property for sale. There is no pricing model for property not for sale. None what so ever. It is not part of the property for sale market. This huge resource of property is the owners major asset which they are playing long and know will appreciate value.
チャ That property for sale can price all property is. silly. So silly it is disastrous. So disastrous it is insane. It is immense oversight - the very type of error professionals commit and will not recant. This insanity, all by itself has destroyed more liquidity than anything else ever. Tens upon tens of trillions, vaporised.
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチSimilar ly, over the counter derivative trades have been harshly treated and mis-represented as their purveyors changed underwear and went stoicly silent. The unregulated market went banana's to any one looking at the numbers. But - the entire exercise................. is a HEDGE. That is how it must be accounted for. It is a balancing act that will PLAY EVEN over contract. Pricing it NOW with 'mark to market' is just a tad...................... STUPID!
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Here's why - Goldman Sachs, receiver of significant settlements from AIG stated - "its exposure was hedged by other investments. (http://www.businessinsider.com/how-did-goldman-hedge-its-exposure-to-aig-2009-3)"
THE WALL STREET JOURNAL (http://blogs.wsj.com/deals/2009/03/20/goldman-aig-if-goldman-was-hedged-why-take-government-money/) - Goldman-AIG: If Goldman Was Hedged, Why Take Government Money?
(enlightening read - that's why these guys get bonus.)
Last chance saloon perhaps, but, the Mortgage Bankers Association's request to delay implementation of appraiser code of conduct slated to take effect May 1, offers an opportunity to study and debate an 'Intellectual Financial crisis'.
The Fund managers trade thermals. :t
Mireland, l guess you'll never get over the belief that money is just for stuffing into dancers thongs.
herosrest
03-23-2009, 07:38 PM
Answers to the following question can win you lots of money and kudos. Is 365, a Prime number?
mireland
03-23-2009, 07:40 PM
The Fund managers trade thermals. :t
Mireland, l guess you'll never get over the belief that money is just for stuffing into dancers thongs.
I invest MY money wisely! :D
herosrest
03-23-2009, 07:45 PM
:D :t Better than stuffing it down yer sock i guess - You don't care about inflation then? :D
mireland
03-23-2009, 07:47 PM
:D :t Better than stuffing it down yer sock i guess - You don't care about inflation then? :D
strippers, hookers, whores: those are SOUND investments...:t
herosrest
03-23-2009, 07:49 PM
Your into noise levels then.
mireland
03-23-2009, 07:50 PM
Your into noise levels then.
I can't seem to scale the depths of your insanity....:eek:
herosrest
03-23-2009, 07:55 PM
You enjoy being SHOUTED at.................
werz
03-24-2009, 05:33 AM
Lando doesn't care what sort of attention the girls give him, as long as he gets some, attention that is.
herosrest
03-24-2009, 05:06 PM
The Bruha, argument over accounting rules is firing up, quite nicely now. It will become cynical, public *itching before very long. The split, fall, call it what you will, is classic. Those who in recent days begin the leap to defend 'mark to market' as it works today are 'BEARS'. Whoever they be, what ever they do, their interest and livlihood derives from going short. The are vested in short trading and need to know - right now - what is that worth. Note 'worth', which is derived from value, which they ascertain and analyse and attempt to profit from now. Whip it quick, it's called, before anyone notices. They are BEARS. They hold sway, have cut the legs from under Bulls and have sat back smiling for far to long. The process of shorting is a negative and cynical activity. It is legitimate, within bounds and profitable. Markets today have been manipulated, over time, such that all balance of initiative sits in the bears lap. They will, begin some very loud screaming and lobbying if circumstances an rules change against.
So, who are Bears, can be anybody really in the Financial community, Note though, Financial community, they are not part of Business, Insurance, Banking, Manufacturing, etc... (there are exceptions). They take other peoples money and profit from short term advantages inherent to those who play LONG. The bulls. Here's a shuftie... Short selling (http://en.wikipedia.org/wiki/Short_selling).
It is speculative, it is destructive, it is basically a deceitful and undermining activity. After it brought the world to its knees during the 1930's FDR, outlawed the sharper aspects of short trading. Prosperitity followed. Regardless of, debate, facts, changed modern trading and any else being heaped in the barn, FDR's call in 1938 ensured that the world returned to a path of continued growth, leaving manipulative short trading a thing of the past for nearly 70 years.
Short traders believe in their practice and rite to such. Those reaping significant reward today, undermine 'all' traded enterprise, have been afforded unbridled opportunity, practice a corruption of ethical business and are scum. Highly placed, quite a few of them, but not one would be missed if they fell down a deep well tomorrow. Short trading is corrupt and fantastically lucrative in the madness of accounting that exists today. How and who influenced changes to accounting rules needs serious, judicial scrutiny. Short trading excesses are not ok. They are as bad and worse by orders of magnitude compared to Enron or AIG or any other Business scandal. Short trading is a massive component of Hedge Fund and Investment trading. It undermines economy's. It is utterly cynical and should be taxed out of existence, up front.
Investment returns are way over the top, 13% roe 10% roi - how does anyone think Hedge Funds achieve these figures and keep 20% for themselves and their fees and costs on top again.
herosrest
03-25-2009, 09:07 PM
You don't need years at college, Financial training and a genius of skills to understand the stock markets over the last 12 months - which is what this chart shows. Any, and all markets show an identical pattern of stock de-valuation. All around the world a 30% devaluation of stock price. It is more complicated than the picture shows because the top stocks are representative and weighted - but, this is how things are and how people view trading.http://newsvote.bbc.co.uk/nol/shared/fds/hi/business/market_data/chart?chart_primary_ticker=LSE:UKX&chart_time_period=12_month&username=bbc&password=jihoj952&canvas_colour=000000&primary_chart_colour=cc0000&use_transparency=0&plot_colour=ffffff&margin_left=20&margin_bottom=20&tiny_chart=1&tiny_month_view=1&logo_strength=light&charting_freq=1_minute&co_dimension^width=629&co_dimension^height=190
Charts for all stock markets are identical for the period illustrated. Something devalued every stock market by 30% in two steps, jun - sep 08, oct08-feb09. There was the end of an oil price spike, and a credit problem. Neither justifies the market response. There was a panic and MASSive short trading. Market events are analysed and reported immediatly and factored into trading analysis immediately and decisions to buy or sell reported immediately. This chart represents a panic, a route of share price around the world in response to head line disaster news and panic over the implications of changes to accounting valuation. 'IT' was a 'BULL RUN'. Prices reflect actually the future for any stock. That is what they do. However as that future arrives - they are going to respond again. There was no reason for the devaluation. Now the actual causes of it are working through and it will repeat and take 30% less time to do it. I will come back specifically to this post in October and crack a Methode Methuselah - 'I told you so! ;);)
Share price is ahead of events and has only one way to go. That is not upwards, i'm afraid. The reality is frightening . A nightmare. This is predictable because Theta was murdered and Vega went on holiday, never to return. Buy candles.... and fur.
Problems now, had not happened last october, yet disaster was factored into everything. The software is screwed up! :p
All this is because of a little thing called amplification. Sounds good to me.
herosrest
03-25-2009, 09:21 PM
This is how the blokes on street markets and Bazaars have sold banana's for thousands of years and now it is how the world economy is run. All that matters is price and it is always devalued by 30%. That 30% is PROFIT!
There is no value - there is no tomorrow.
All hail the new economics - our colleges have excelled themselves this generatation.
mireland
03-25-2009, 09:27 PM
200 replies
herosrest
03-25-2009, 09:32 PM
See, 30% again. You li'l................ banker.
herosrest
03-25-2009, 09:39 PM
I won't be cruel and divulge the party, imagine they are long past the crossed fingers stage of affairs........... :r :D
"844m relates to a further four CDOs constructed 2007/08, maturing 2017/18.
Un-related to above.
Short interest on the New York Stock Exchange rose to its highest level since the collapse of Lehman during the month to mid-March and at its highest rate in more than a year as hedge funds increased their bets against the rally in US equities during that period.
From February 27 to Friday March 13, the benchmark S&P 500 index rose about 3 per cent, prompting talk among participants of a lasting rally in the US stock markets, which have been battered by the recession.
But over that two-week period, as the equity market rallied, short interest rose to 4.2 per cent of all shares outstanding, up from 3.8 per cent at the end of February.
Short sellers aim to profit from betting on falling stocks prices. They borrow shares and then sell them, hoping to buy the shares back at a lower price, return them to the lender and keep the difference.
The broader stock market rally was eclipsed by several prominent stocks, but short sellers took the view that the gains by these stocks, particularly those most affected by the crisis so far, were unsustainable.
For example Citigroup, which was down 79 per cent for the year to the end of February, rose 19 per cent over the first two weeks of March.
But short sellers appeared to take the view that the gains were unsustainable and increased their short position in the stock by almost five times over that period.
mireland
03-25-2009, 09:57 PM
:t
herosrest
03-25-2009, 09:58 PM
I am sure no-one anywhere on earth is naive enough to associate the colossal reduction in stock market values with the advent of fair value - price now- accounting methodology and an absolute wall of discount.
hey hero, since your rambling..could I get you to get me the square root of pi to the 150,000th digit? :D
herosrest
03-25-2009, 10:26 PM
The 150,000 digit is 0. Funny, that. How 0dd. ;)
mireland
03-26-2009, 07:37 AM
The 150,000 digit is 0. Funny, that. How 0dd. ;)
:rolleyes:
herosrest
03-26-2009, 03:06 PM
The 150,000 digit is 0. Funny, that. How 0dd. ;)Pi is not as cool though as the modern economics and finance 'numbah' seven.
It is truly magical - add 8 zero's, a currency denomination and it disappears, simply vanishes. ;)
Hail the modern mathematics - Algebra was piffle.
All you need is the minus sign. You all know that a double minus is a plus................ :rolleyes: :D
herosrest
03-26-2009, 06:25 PM
Ooooh look a mackerel.......... woops, a sprat... nope, actually a kipper. Eyes right, just look out the windows chaps......... :rolleyes:
Ireland's AIB hit by fraud investigation (http://www.iht.com/articles/reuters/2009/03/26/business/OUKBS-UK-ALLIEDIRISHBANKS.php) Just keep y'er selves busy............ maybe it's the missing Madoff link. :x
http://www.tradingeconomics.com/Temp/Ireland-GDP-Growth-Rate-Chart-000001.png?19716b0c-0658-4c87-a832-1eed58783fc0 (http://www.reuters.com/article/marketsNews/idUSLQ67951420090326)
Q4 GDP shrinks 7.5 percent year-on-year
herosrest
03-27-2009, 01:24 PM
Porsche-VW highlights (http://www.hedgefundsreview.com/public/showPage.html?page=825084) - NOV 2008 Hedge funds may have lost as much as €30 billion after their moves to short sell VW stock backfired. In a surprise announcement Porsche revealed it had covertly acquired a further 31.5% stake in VW through the purchase of cash-settled call options on top of the 42.6% it already owned. Since the German state of Lower Saxony owned 20% of VW, that meant only about 6% of VW shares were left on the market.
The realisation there were not enough shares available to cover their positions sent short sellers into panic to cover their bets. VW's shares soared by as much as 200% as funds scrambled to buy shares to close their short positions and fulfil their delivery obligations. The two days of frantic trading has led to what is thought to be one of the heaviest losses on a single company's shares ever taken by hedge funds. Porsche, which has claimed to have acted within German law by covertly increasing its VW holding, said it would give up 5% of the company in order to allow hedge fund obligations to be settled and to “avoid further market distortions”
Porsche said it was not behind any of what it called market distortions. "Porsche SE denies all responsibility for these market distortions and for the resulting risks to which the short sellers have exposed themselves," it said in a statement. It said it had complied with the law and had not been active in the market during the share price movements, denying any allegations of price manipulation. To people conversant with the UK markets, the idea of a shareholder being able to increase secretly holdings in a publicly quoted company from 42% to 74% is difficult to grasp. The concept of ‘creeping control’ has long been regulated by the UK Takeover Panel. Transparency has been a hot topic in the UK public markets for a number of years, including the adoption of the European Union’s Transparency Directive and the Disclosure Rules and Transparency Rules (DTRs).
The DTRs require disclosure of voting rights attached to shares. Notification must be made once a shareholding of 3% or more is acquired and for every 1% increase above the 3% threshold (or disposals falling below those thresholds) regardless of whether a takeover is contemplated. ...... (CONTINUED) :rolleyes: ... they have ways of making you squeal. Well done the uber race! Amputating the hand that feeds you :p Perhaps............ it is time for all Hedge Funds, yup, all of them, to be publicly quoted. That would be good fun and incredibly profitable short trading business. Oh yey - let it be!It isn't all bad news, Porsche's profits before taxes of $11.6 billion in the fiscal year ended in July were actually larger than its total revenues from sales of $10.2 billion. :confused: :p
Now consider.... this. G20 will convene.... FASB & IASB are into 'mtm and fair value, it is being argued very politely. It is an issue of bears and BULL - and the BEARS are full of it, bull that is. Short trading stocks, is robbery that destroys value. It is asset stripping gone insane and occurs now because the accounting process enables it. All perceived benefit is out weighed by factors of magnitude in the damage being done to normal business practice. The accounting rules are a pirates charter. Those who do not appreciate these follies are a conspiracy or out of their depth and should be replaced with bright 10-year olds.http://i.l.cnn.net/money/2009/01/26/news/international/gumbel_porsche.fortune/porsche_panamera_turbo.03.jpg (http://money.cnn.com/2009/01/26/news/international/gumbel_porsche.fortune/index.htm)
G-G20 farce.As the G20 media strumpet unfolds, several things are guaranteed. Opposition groups will demonstrate as they are freely and quite rightly entitled. Some of it may, unfortunately become rather ugly. (anecdote below). Interest in a Global reserve currency may generate serious discord. The EU senior chair, has some serious behavioural issues and the secrecy banking nations will be squealing blood and holier than though. The free trade heralds will be wondering what happened to their paddles in the sea of survival and ..........
What is not even dawning yet is that the April business accounts across all sectors of the UK and global economy are appalling. An utter disaster and knee jerking HI-jack of the entire conference will occur! Sort out the short trading debacle.
anecdote - London riots in opposition to the Tory Thatcher pole tax, took UK and the world by complete surprise. The people literally rose up. A Texan couple caught up in mayhem, asked of a present police sergeant 'What was going on'. The reply was priceless, as only the 'e'nglish can do.......... ".Well sir, the great English public are revolting"
Hedge Funds Review is the market-leading publication for the alternative investment industry.
herosrest
03-28-2009, 12:13 PM
How can the fusion of confusion that is modern finance occur............. it is simple to fathom. Really, it is.
Return is more important NOW, than the investment. A simple now and then thing. Johnny wants it now and will scream the house down until delivery.
Capital doesn't matter, it is expendable, and with it the future.
It is a concept of avarice, the influence of insanity, Unbridled greed is insanity.
The truly brilliant and clever find the root................ answer are always that simple, especialy when those confusing matters and issues are conmen defending their livlihoods. The uptick rule 'instituted' by FDR, was a work of genius. Utter simplicity that went straight to the heart of a battle-field of self interest and sorted the problem for like 70 years.
Understanding why that rule was put in place (the issue it addressed and resolved), explains how the USA did what it did for 70 years.
It is deeply, deeply simple. Profound.
herosrest
03-28-2009, 04:05 PM
AUGUST 14, 2007 - The Wall Street -Journal. .... Another factor some traders say is causing turmoil: an arcane rule change -- referred to as the "downtick" ...
There is no better proof of the underlying which brought about financial disaster than the horses mouth. It is actually the other end this comes from, but, Mark Cuban's blog................... We Don’t Need an Uptick Rule. (Did the Elimination of the Uptick Rule Contribute To Recent Market Declines?)
Quote "This is a simple issue.
________________________________It used to be that you couldn’t short a stock unless there was an uptick. The idea was that this uptick rule would prevent short sellers from piling on a stock and driving the price down. Then the uptick rule was removed. It became permissable to borrow shares of stock and sell them whether or not the stock had ticked up or not. The result ? Nothing. Not a darn thing changed.
Good companies operated their companies well. They recognized that short sellers just created future demand for their stocks. If they pushed the price down to new lows, it just created an opportunity for investors to buy the company at cheaper prices. So be it. Good companies aren’t defined by their stock prices, they are defined by their operations.!
Utter TOTAL SPEEL... RUBBISH......BOLLOX!
This guy doesn't know, doesn't care, doesn't understand and doesn't get it. How can he be so wealthy. Interesting point, that!
Here are the lies -
"Thats not to say short sellers didn’t pick on the financial companies. Of course they did.
They did so because they were poorly managed. They were right"
"When you hear someone talk about bringing back the uptick rule as a solution. Laugh.
Then tell them “Larry Bird is not waking through that door”.
In July 2006, Cuban financed Sharesleuth.com , a web site created by former St. Louis Post-Dispatch investigative reporter Christopher Carey to uncover fraud and misinformation in publicly traded companies. Experimenting with a new business model for making online journalism financially viable, Cuban disclosed he would take positions in the shares of companies mentioned in Sharesleuth.com in advance of publication. Business and legal analysts questioned the appropriateness of shorting a stock prior to making public pronouncements which are likely to result in losses in that stock's value. Cuban insisted that the practice is legal in view of full disclosure.
In October 2008, Cuban started Bailoutsleuth.com as a grassroots, online portal for oversight over the US government 700 billion dollar "bailout" of financial institutions.
Cuban is an admirer of individualism, claiming early inspiration from author/philosopher Ayn Rand's The Fountainhead. About Rand's novel The Fountainhead, he said: was incredibly motivating to me. It encouraged me to think as an individual, take risks to reach my goals, and responsibility for my successes and failures. I loved it." His political views lean towards libertarianism. He held a position on the centrist Unity08 political organization's advisory council.
2008 Presidential endorsement - On February 8th, 2008, Cuban announced his endorsement for Michael Bloomberg for President in the 2008 presidential election on his blog.[80] He stated in his endorsement: "Are you listening Mayor Bloomberg? For less than the cost of opening a tent pole movie, you can change the status quo".
Insider trading allegations - On November 17, 2008, it was announced that the SEC filed a civil suit against Mark Cuban relating to alleged insider trading in the shares of Mamma.com, now known as Copernic Inc.. A stock dilution occurred shortly after the June 2004 trade, which gave off red flags of inside knowledge at the time of the trade, which is alleged to have saved Cuban from a loss of $750,000. The SEC claims Cuban ordered the sale of his holdings in Mamma.com after he was approached by the company on a confidential basis to participate in a transaction likely to be dilutive of current shareholders. Cuban disputes the charges, saying he had not agreed to keep the information secret.On his blog, Cuban contended the facts were false and that the investigation was "a product of gross abuse of prosecutorial discretion."
The Mark Cuban Stimulus Plan - On February 9th, 2009, Cuban announced his own "stimulus plan", involving what he called "an open source exchange of ideas." His plan entails individuals posting ideas that fit certain criteria (breaking even within 60 days, profitability within 90 days, no advertising, certain banking controls for Cuban) in the hopes that either Cuban will fund them, or other individuals will take up the ideas thereby stimulating the economy. In fact, Cuban states that ideas may be stolen. As such, there has been some concern among posters on the stimulus site towards many of Cuban's policies.
FERENGI AT PLAY! they will funck you at the Drive-through.
herosrest
03-30-2009, 09:49 AM
Modern Bears................ full of BULL.... :p
Blackstone Said to Reject Disclosure Request (http://dealbook.blogs.nytimes.com/2009/03/30/blackstine-declines-to-disclose-fund-performance-report-says/)
Quote: “The individual rates of return have no direct impact on our financials and therefore we question the relevance to our investors,” - can you feel it! :rolleyes: One Rule for us, another for the rest!
Total respect for mushrooms. I bet (haha!) that their shovels are large. Very large.
Blackstone Rejects SEC Request for Fund Data (http://www.bloomberg.com/apps/news?pid=20601087&sid=aNp8YOTj3PVk&dbk)
http://images.publicradio.org/content/2007/03/23/20070323_blackstone_group_logo_18.jpg (http://en.wikipedia.org/wiki/Blackstone_Group)
Because private-equity funds earn their returns by purchasing and then selling companies over a seven- to 10-year period, annual performance figures can be misleading, particularly in the early life of the partnership, said Marc Bonavitacola, who analyzes and examines buyout funds for Boston- based SVG Advisers Inc.
A private-equity fund’s actual returns can’t be judged until all the companies it has invested in have been fixed up and sold, he said.
So, what is the current value on your books - you are then seriously undervalued, aren't you by mark to market!
Just like every other stock under 'Fair Value'.
Take over - take-out target with massive hidden unmatured value. Hoist, Petard.... type term comes to mind.
13% roe, 10% roi....... weeeeeeeeeeeee!
Which is why Blackstone amongst others tried to have the accounting rules changed back last December. They tried. Bush did listen.
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチ
Laurence Tosi was chief operating officer for the global markets and investment banking group of Merrill Lynch. Before that, he was a senior vice president and finance director responsible for Merrill's global finance organization.
Over 30 senior executives, traders and bankers left Merrill or were forced out after John Thain, a former president of Goldman Sachs Group became Merrill's CEO and recruited colleagues from his former firm to occupy top posts at Merrill. Merrill is now BoA. Sort of.
チャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチャットモンチチ
these people are Ferengi!
herosrest
03-31-2009, 11:41 AM
Short selling, did not cause the financial problems that exist. It does not over value stock. 'Mark to Market' accounting rules for Financial business caused a valuation disaster. It most certainly was intended, but back fired spectacularly. No one thought it through. Short Trading is petrol on the conflagration. An all encompassing, 'Uptight Rule' is required - not an updated and watered down version of the Uptick Rule. The problem which remains is the returns offered for investment and equity. 'They' are insane and must be regulated - they must be taxed effectively. Mature self-regulation. Simple straight forward rules and practice that every trader and businessman signs off. If they err................ lock them up. It will sort its self out over night.
It will never be acceptable, for significant and good reason to regulate markets to universal satisfaction. Self Regulation is an effective and workable practise which will mature. It is Prime significance that Government and administrations know and understand the transfer and distribution of funds. That concept cannot be dismissed. Individuals or Business avoiding tax or disclosure should be presumed in 'guilt'. For what other reason is there to avoid disclosure, other than breaking laws. A generous or even neutral tax stance is worthwhile in order simply to measure and understand what is occuring. Those with nothing to hide have nothing to fear... how often is that argument trotted out. It's quite true though
The short-selling trader will make a profit only if the share price falls - but the act of shorting puts downward pressure on the price, so the odds are in his favour. Whatever happens to the short-selling trader, the party that lent him the necessary shares will make money.
And so we come to the really bizarre, Alice in Wonderland part of the exercise, which is where someone acting on behalf of your pension fund manager thinks it makes sense to lend the shares that are necessary to carry out this activity, which tends to dampen the share price.
Consider that frequently the result of lending out shares is that the funds that are managed on your behalf are worth less than they would otherwise have been. However, the guy working for the fund manager does not have to worry about this, because his pay is determined by things such as his trading activity, which includes income earned on share lending. So, as the value of your investment is being reduced, the value of the trader's remuneration is increasing.
Short Selling Uptick Rule to Return, But...... (http://www.marketoracle.co.uk/Article9744.html) let's hope it's not the version being sought by the Nasdaq and the New York Stock Exchange. The two exchanges and others are pushing a proposal that is overloaded with conditions that must be met before a particular stock becomes subject to the rule, and even then the rule's reach would be limited.
Oddly enough, there was no great clamor to get rid of the uptick rule in the first place. Not oddly, those arguing loudest against restoring it are hedge fund managers who have been the main beneficiaries of its absence.
Regulators surely had good intentions when they suspended the uptick rule, but there were unforeseen consequences. Now they should learn from the experience and make appropriate changes before more companies are needlessly destroyed.
Bottom line—bring back the uptick rule as it was prior to July 2007. That's the simple and straightforward solution, not to mention a good first step toward more effective market regulation.
Stop the Short Sellers (http://www.silobreaker.com/DocumentReader.aspx?Item=5_2262211264392462338) ....the truth is, we have to stop the short sellers. England outlawed short selling in the 1800's and you can track the beginning of the downturn in the stock market from July 6, 2007, the day the Bush Administration deregulated and got rid of the "uptick" rule. This SEC rule mandated that every short sale transaction be entered at a price that is higher than the price of the previous trade. Introduced in the Securities Exchange Act of 1934 as Rule 10a-1. It was implemented in 1938. The purpose of the uptick rule was to prevent short sellers from increasing the downward momentum when a stock is already experiencing sharp declines. It's gone. And, now, every time the market has an upswing, the short sellers, (or as a broker I know refers to them, "the vultures), just lay in wake to come in and drag everything down.
Slowly, convincingly, more and more people appreciate the evil done and allowed by the current advantages afforded short traders. The process is a corruption of enterprise and endevour. It is highway robbery. It is defended by those who have no other means to defend their Capital. They take every one elses cash to protect inflated assets which cannot be redeemed. That is not a banking problem, it is a conspiracy to defraud.
It is not just the stockbrokers, their superficial, company-friendly analysts, the lawyers and the various levels of advisers that are under scrutiny; the entire over-remunerated fund management industry must account for itself, to better explain what net value it adds.
Eventually, people are going to prison - will it be Business people or will it be the politicians?
herosrest
03-31-2009, 09:54 PM
http://i.mktw.net/mw3/News/greendot.gif U.K. authorities arrest two in insider trade case (http://www.marketwatch.com/news/story/UK-authorities-arrest-two-insider/story.aspx?guid=%7B1E399153%2DC207%2D4971%2DB314%2 D181497F9D443%7D) http://i.mktw.net/mw3/News/greendot.gif
http://i.mktw.net/mw3/News/greendot.gifThe Financial Services Authority, the U.K.'s securities watchdog, said on Tuesday that it has arrested two people, including a senior corporate finance adviser, in connection with an ongoing investigation into suspected organized insider trading. It also said that it executed search warrants at a number of London locations as part of the probe. "The operation carried out this morning involved 25 FSA staff, assisted by 11 officers from the City of London Police, and is part of the FSA's work to tackle market abuse," the agency said Tuesday, without providing any more details http://i.mktw.net/mw3/News/greendot.gif
Second insider trading case rocks (http://business.timesonline.co.uk/tol/business/industry_sectors/banking_and_finance/article1775783.ece) ...... Their arrest came only hours after Randi Collota, a former Morgan Stanley rules compliance officer, and her husband pleaded guilty in a federal court in Manhattan for their role in a $15 million insider trading ring, which prosecutors say is the biggest since the deal boom of the 1980s. The couple received kickbacks of $9,000 a time for handing out tips about pending mergers and acquisitions. Announcing the case this year Michael Garcia, a US attorney, said that the scam reached not only into Morgan Stanley but also the offices of UBS.
Federal authorities have stepped up their investigations into insider trading given the surge in multimillion-dollar takeovers in the past year. So far most of the cases have involved junior Wall Street staff, in stark contrast to the notorious schemes of the 1980s involving Ivan Boesky and Dennis Levine. Mr Boesky was handed a three-and-a-half-year prison sentence and a $100 million fine in the mid-1980s.
According to a complaint filed yesterday against Ms Wang and Mr Chen, the couple set up an account in the name of...... http://i.mktw.net/mw3/News/greendot.gif
mireland
04-01-2009, 02:41 PM
this thread is a real HOOVER...:t
herosrest
04-01-2009, 03:04 PM
:D http://i.mktw.net/mw3/News/greendot.gif Still, ,,,,,,,, on, yeah! ,,,,,, ,,,,,, ,,,,,, ,,,,,, How the global downturn unfolded (http://news.bbc.co.uk/1/hi/business/7521250.stm)
Between 2004 and 2006 US interest rates rose from 1% to 5.35%, triggering a slowdown in the US housing market.
Homeowners, many of whom could only barely afford their mortgage payments when interest rates were low,
began to default on their mortgages. http://i.mktw.net/mw3/News/greendot.gif Cheap credit was the plan...... :mad: http://i.mktw.net/mw3/News/greendot.gif
10% earnings per share - 13% RoE. Get some NOW!
herosrest
04-02-2009, 06:24 PM
http://i.mktw.net/mw3/News/greendot.gif Efficient markets' theory (http://www.marketwatch.com/news/story/Analyst-Market-collapse-refutes-basic/story.aspx?guid=%7BD20C36CA%2D47D0%2D48DC%2DA2E8%2 D1A4D6CA9924A%7D) "the academic community will have a hard time explaining away the destruction of half of the value of the U.S. stock market in a little over a year after it took 70 years to create much of that same wealth,"
Perhaps now, with the FASB and its boss on a short leash and valuations straight jackets for Financial accounting being repaired to accomodate the 'real world', stocks can benefit from a 20%ish improvement in their numbers. Yup 20% and it applies back through the 1st quarter. The mother of all cockups it was and still the FASB won't admit it. The differences between real world business and the accounting boards ideals are further apart than the earth and moon. They are fools, that is why they account and make up rules for their ideal world which don't work. There is stubborn and obstinate record of advice and notifications that changed accounting rules applied as they 'were' to the 'Financial Sector' would bring ruin. These people were told what would happen. No one listened. Everyone put on their holier than thou hat, looked away and prayed it would be all right in the end. "destruction of half of the value of the U.S. stock market in a little over a year after it took 70 years to create".
http://i.mktw.net/mw3/News/greendot.gif That no one will now call this farce for what it is, is even more incredible.
Next 4 months stocks can bounce. Bounce bif..... if the short trading is muzzled. It is killing prices because it is price based. It is destroting Capital value because that is how it works. Uptick plus please and taxation of short trading as Capital Gains.
The US stimulus to isolate toxic credit is a no brainer win-win proposition. Put up 10 million, the Govt guarantee your investment and will leverage your 10 million up to 6 times. So your 10 million will buy 70 million of discounted 'toxic assets, which current analysis indicates is good for 65%+ and up, the focus and help with debt will improve this, there will be no better leverage available anywhere and you are only 14% of the risk equation guarateed not to lose your stake.
It was the abrupt halt of this Financial Trading which broke the system. Jump in folks, get both feet wet, Uncle Sam is telling you to speculate and accumulate.
http://i.mktw.net/mw3/News/greendot.gif The remaining problem of risk reward must be addressed, the high rates of return on investments from offshores and Hedgefunds is a con that isolates capital and depreciates it whilst accounting camoflages the trick. This is what FASB wanted to address and totally screwed up. The Capital they were interested in was outside their domain - it is offshore. That is the problem that remains and must be addressed urgently. Paying those returns is done from current accounts topped up from stock trading and anywhere else possible. Capital is inflated in the books to ensure it is not redeemed. The entire exercise is a huge con that demands these funds rob stock markets on a daily basis. Stock prices will not rise while Finance inflates its books to protect capital.
http://i.mktw.net/mw3/News/greendot.gif[/ Right back at square one with a problem that won't go away. Are we all any the wiser. Yes we are. Accountants can not solve the problem. That penny needs to drop NOW. We are surrounded by corruption, someone who didn't obey rules last year isn't going to start today because the rules are changed. You catch these people and you put them in jail, where they belong. http://i.mktw.net/mw3/News/greendot.gif
herosrest
04-02-2009, 06:48 PM
Research In Motion - shares leaped 19% to $58.17 in recent action.
Trading was heavy, with more than 8.8 million shares already exchanged at a rapid pace.
The surge followed the company's report that fourth-quarter profit rose almost 26% to $518.3 million, or 90 cents a share, compared with $412.5 million, or 72 cents a share, for the same period last year. Revenue rose 25% to $3.46 billion for the quarter. Analysts were expecting earnings of 84 cents a share on revenue of $3.41 billion, according to survey conducted by FactSet Research. The Waterloo, Ontario-based company said it now expects first-quarter earnings of 88 cents to 97 cents a share on revenue of $3.3 billion to $3.5 billion.
herosrest
04-02-2009, 11:17 PM
Under New Accounting Rule, Toxic Assets May Be Revalued (http://www.washingtonpost.com/wp-dyn/content/article/2009/04/02/AR2009040201264.html)
The board that sets U.S. accounting rules voted yesterday to let financial firms report higher values for some troubled assets, a controversial step likely to increase some banks' reported earnings but also heighten suspicions that the companies are concealing problems. Banks are concealing problems - but not undervaluations ;)
But the decision to ease what are known as mark-to-market requirements has raised concerns among some financial experts who warn this will make it harder for banks and investors to agree on what the troubled assets are actually worth and thus discourage their sale. The ability of financial firms to sell assets to investors is considered essential for an economic revival because this could restore the major source of funding for bank lending to consumers and businesses.
FASB also has faced a storm of criticism from accounting and investor groups who view yesterday's decision as evidence that it lacks the necessary independence and strength to uphold its judgments in the face of pressure. The nonprofit board, whose decisions are enforced by the Securities and Exchange Commission, proposed the changes four days after it was told to do so by angry members of Congress.
"I was very disappointed in the process in that the independent agency buckled to the strong-armed tactics of Congress," said Arthur Levitt, a former chairman of the SEC. "This is a step toward the kind of opaqueness that created the economic problems that we're enduring today." ... see link for article.
Doesn't really seem like anyone, even yet, really has a serious axe to grind with the FASB. They 'should', and be queing to the back of beyond to do it. This is the classic case of independance gone horridly, totaly pear shaped (although it was actually a banana part).
These people screwed up as badly as clowns can. Of course they believe they acted in best faith. They believe it. So do those who support them. All that had to happen was accountants practice existing rules independently and get off the gravy train. Lock up a few of the dodgy traders to huge fanfare and problem sorted.
Oh no......... enter a born to be famous and don't l know it genius - to run FASB and bring world trade to its knees. Along with every economy. I'm sorry, but this really wasn't funny in any way.
The rules and the implementation are twaddle as far as financial trading and the effect was a disaster. You simply do not take a shotgun to the innocent and those 7 or so billion people who had nothing to do with a bunch of guerilla's ripping of financial trade and mis-pricing assets.
The fact of what has happened stares the world in the eye - a 30% global devaluation in about 18 months. What did they do, sit down and work out everything was overvalued by that amount. I think not. They screwed it up! as bad as it gets. Did they evalute the impact of changes, obviously no. Do they refute these accounting rules now. No. They are professionals. Did they understand what they were doing?. Not yet, it seems.
Assets were overvalued. That was actually a judgement call. Backing that call and changing rules - destroyed confidence, which has destroyed trade and much else besides. This blossoming spring, 2009, may not be the end of it........... huge damage is still to work through the numbers and all for what. Thge financial villains are still doing what they do. It's only in the last few days that Madoff's accountant has been charged with wrong doing.
He will probably get off because he used invisible ink.
Accountants are a joke for very, very good reason. It's not their money!
herosrest
04-03-2009, 09:28 AM
http://www.sysopt.com/forum/images/buttons/viewpost.gif (http://www.sysopt.com/forum/newreply.php?do=postreply&t=203267) The value of a credit default swap can vary as a result of the assessment of the health of the credit markets generally. That is because a credit default swap is merely a contract between two financial counterparties, and is only as good as 'the health of those counterparties themselves'.
As Warren Buffett observed:
“Unless derivatives contracts are collateralized or guaranteed, their ultimate value also depends on the creditworthiness of the counterparties to them. In the meantime, though, before a contract is settled, the counterparties record profits and losses — often huge in amount — in their current earnings statements without so much as a penny changing hands. The range of derivatives contracts is limited only by the imagination of (mad)men.”
Loan-to-own hedge funds, the wise guy traders in distressed debt, and credit default swap speculators can make tremendous fortunes by short selling the entire financial system. There are people and institutions who benefit if credit markets seize up, banks default on their obligations, or companies file for Chapter 11.
One possible reason for the talk of doom and gloom, and periodic rumors of panic, in a period with objectively strong economic statistics is that there are investment funds who have shorted prosperity and have gone long doom and gloom — and they have every incentive to make that bet profitable.http://www.sysopt.com/forum/images/smilies/wink.gif (http://www.dinocrat.com/archives/2007/12/09/phases-of-a-credit-crunch/)They play ultimate stakes poker. They have an attitude problem!
herosrest
04-06-2009, 09:09 PM
Quite incredible, it is. Still not one person has divined, let alone divulged the problem that is world economics today.
H'ok..... it's in the title of this topic. Every 4 years - asset value doubles in the books. This is for a number of simple practical operating reasons, it is universal, not industry or sector specific, and yes - everywhere they applied their investment expertise, over-valued assets were inflated and earned insane return because it was actually impossible to redeem the assets.
The very clever lad who started the bank of England knew what he was doing. The business and banking community today at very, very least are a combined negative IQ. If not they belong in prison.
Greedy thieves - the insane!
herosrest
04-06-2009, 09:20 PM
.
Madoff was a test!
mireland
04-06-2009, 09:56 PM
.
Madoff was a test!
grade: f-
herosrest
04-06-2009, 10:38 PM
I wonder now and then if he is......... sorry. He said it. Must be true. :D
herosrest
04-08-2009, 01:54 PM
No criticism is implicit or intended in this post.
It is simply a delightful and informative tale.
Always ask the accountants, 'What shall we do? :rolleyes: :D - how about...... Your homework.
How exactly did this 'hole' mess get started.... :rolleyes:
the mystical powers of accounting. (http://ftalphaville.ft.com/blog/2009/04/08/54571/fdic-and-the-magical-accountant-a-financial-fairytale/)
Once upon a time there was a princess called Sheila.
http://alphaville.ftdata.co.uk/lib/inc/getfile/5863.jpg (http://www.nytimes.com/2009/04/07/business/07sorkin.html?_r=1)
One day things started going wrong in the Kingdom.
A mysterious and terrible illness was wiping out the Banks. It was called the curse of the myriad writedowns. The financial white knights and fund squires were no match for the curse. Monsters called ‘ponzis’ roamed the land and all was doomed.
King Geithner decided to take matters into his own hands. He gifted upon the financial white knights and fund squires a trillion magic beans. They were to use the trillion beans to heal the Banking elite and free them from the curse of the myriad writedowns, feeding the legumes to the Banks one by one.
Princess Sheila was to play a role too. She was to insure 85 per cent of the beans provided by the King to the financial white knights and fund squires. But there was one small problem. “I know,” she cried. “I shall travel to the Kingdom magician — the accountant. He’ll know what to do!” So Princess Sheila set forth that very day to meet the accountant, who resided in a far and dark corner of the land.
“What shall I do?” the Princess asked the accountant, after explaining her predicament. :rolleyes:
City Diaries (http://news.bbc.co.uk/1/hi/business/7998871.stm)
Consider the buyout of Manchester United by the Glazer family. This family could not afford the purchase but financed it by debt. The interest on that debt meant that the parent companies behind the most profitable football club in the country actually lost money in 2008. The reason for the loss is because the hedge funds who hold the debt are charging astronomical interest rates. The funding and advisors who get these deals off the ground are the investment banks who provide bridging finance before selling bonds to investors.
So who actually benefits from these buyouts?
I am not saying investment banks do not have a purpose in a sophisticated economy. They are advisors and traders who buy and sell. They are more accurately described as broker dealers who underwrite share issues or trade foreign currencies or advise companies on how to grow their business in an organic and controlled way. What they should not do is lend money financed by our hard earned savings deposited with retail banks.
Cheap finance was intended to drive a vast expansion of home ownership - benefting the entire economy. Finance and Banking found cynically beautiful ways to mess up the concept through greed, greed and more greed.
It was open season on home buyers, new buyers, existing buyers and prospective buyers. Quote "The reason for the loss is because the hedge funds who hold the debt are charging astronomical interest rates"(and fees). They do this because they actually cannot return significant percentages of funds invested and this is because fee strucures and remuneration deplete the capital. The high levels of return demanded inflate prices as do the exhorbitant operating costs. There is nothing clever, efficient or worthwhile in the expansion and growth of Hedge Funding. It is Financial harming through inflated returns and costs and largesse.
This form of investment drives up costs and inflates value. It is self destructive and is actually Banking not investment. Each of these Hedge Funds is actually operating as a very, very expensive unlicenced Bank. They are printing their own money.
j.m@talk
04-16-2009, 05:27 PM
I am not saying investment banks do not have a purpose in a sophisticated economy.
Me finks economies of late have been a bit too sophisticated fer our own good...... Take a leaf out of Jeff Randall (http://news.sky.com/skynews/Home/Sky-News-Archive/Article/20080641285269)'s book..... "Live within your means" I know its boring, but that way you get to eat on a relatively regular basis .... WHICH IS QUITE GOOD :)
Me finks economies of late have been a bit too sophisticated fer our own good...... Take a leaf out of Jeff Randall (http://news.sky.com/skynews/Home/Sky-News-Archive/Article/20080641285269)'s book..... "Live within your means" I know its boring, but that way you get to eat on a relatively regular basis .... WHICH IS QUITE GOOD :)
We are in the calm before the storm, the economy will begin a downward run in about seven weeks, and the stockmarket will drop to about a third of it's present level.
If you have money in a pension fund, you won't have by the summer, it'll have vanished into thin air.
j.m@talk
04-17-2009, 03:18 AM
Money doesn't vanish ........ It gets lost or gained ........ My pension fund :( umm well the less said about that the better :(
herosrest
04-17-2009, 12:19 PM
New accounting rules - (FAS-157 and others) - changed the way everything Business, is valued. Overnight, everything was revalued, downwards by about 30%. The reason for the change of rules was scandals such as ENRON........ so now everybody pays for the bad guys cons. The people who dreamed up the accounting fixes should be lined up and shot. They are sub-human. There was stupid **** going on with some dodgy CEO'S and Fund and Insurance managers - every body gets taken to the cleaners. Morons and conmen are at play. Right up top, in the clouds of never never land. They are all thieving cockoo's.
A mother, plain simple kitchen and nappy lady (absolutely no slight intended) ends up running an international bank. Sonja Kohn whose Bank Medici operated some of the biggest funds invested in Bernard Madoff's scam simply gathered in Nudge, nudge, wink, wink billions and passed them to Madoff - for a big fat fee of course and conned all of Europe and the States into believing she was Kosher. What a smile.
It's nice to forget December. Investment banks traditionally ended their fiscal years in November, commercial banks in December. So when Goldman Sachs and Morgan Stanley shifted to commercial bank status late last year, they both decided to shift their fiscal years starting this year. In doing so, they orphaned the month of December 2008. For Goldman, it was revealed this week, that meant saying goodbye to $780 million in losses that will never show up on the bottom line of an earnings report.
What no-one seems to get yet is that they 'all' are a bunch of jerks - exactly the same as us.
The billions in bonus, belongs to customers who have been overcharged and investors who are being robbed blind.
The only tool left with which to turn the mess around is share and stock price AND wouldn't ya just know it - the entire stock market game has turned into a hguge - l need it now - take the instant profit' piggy bank that is just, just barely keeping Hedge Funds solvent. Shoot the short traders now.
Madoff was a Jerkoff :t
He and Sonya did rather 'hit it off'. :rolleyes:
click (http://www.ruvr.ru/files/Image/Editiors/Germany/strana/Kohn2.JPG)
werz
04-18-2009, 09:05 PM
Is that Madoff in drag?
j.m@talk
04-18-2009, 10:26 PM
Nahh Hero in Drag :D
mireland
04-18-2009, 10:28 PM
looks like she fell out of the ugly tree, and hit every branch on the way down...:rolleyes:
j.m@talk
04-18-2009, 10:30 PM
RTT
mireland
04-18-2009, 10:35 PM
RTT
fubar
herosrest
04-19-2009, 06:48 AM
Alert! Alert! . warning. System plebes at work. Not i at work!. yup, the nonoti........... :p
Here it is folks. a very, very simple - straight forward run down on things. As i said way back, the engineered Financial system is a brilliant thing. It works flawlessly until it is allowed to inflate because government gave up control of the money supply. They simply didn't worry about it because it works. UNLESS you let a bunch of greedy morons run away with it.
Even the 30 - 1 ratio's are only dodgy to dangerous if the returns get stupid. Like....erm..... 10% earnings per share - 13% RoE. Get some NOW!
Credit Bubble: Who Lent to the Hedge Funds? (http://seekingalpha.com/article/131731-credit-bubble-who-lent-to-the-hedge-funds?source=feed)
herosrest
04-22-2009, 08:26 AM
The IMF will release its World Economic Outlook on Thursday, which is expected to show further downgrades to its forecasts for the global economy in 2009 and 2010.
The IMF on Tuesday raised its estimate of losses from the global financial and economic crisis to more than $US4 trillion due to writedowns on soured credit. The IMF's previous update in January of a projected loss of $US2.200 trillion was based exclusively on US-originated assets, as had been the October 2008 GFSR estimate of $US1.4 trillion. Mr Swan says despite the efforts of governments worldwide to provide policies to stimulate growth, the global financial system remains "under severe stress".
"The report highlights the key causes of the global recession and the magnitude of the challenges facing the global economy as the Government goes about framing the upcoming Budget," Mr Swan said in a statement.
"Ongoing dislocation" was to blame for the further downward revisions in global forecasts "with the world economy now expected to contract in 2009 for the first time in 60 years."
IMF report paints sober picture (http://news.brisbanetimes.com.au/breaking-news-national/imf-report-paints-sober-picture-swan-20090422-aeco.html) ______________ IMF Global Financial Stability Report, April 2009 (http://www.cfr.org/publication/19159/imf_global_financial_stability_report_april_2009.h tml)
"The refinancing needs of emerging markets are large, estimated at some $1.8 trillion in 2009, with the bulk coming from corporates, including financial institutions. Though notoriously difficult to forecast, current estimates are that net private capital flows to emerging markets will be negative in 2009, and that inflows are not likely to return to their pre-crisis levels in the future. Already, emerging market economies that have relied on such flows are weakening, increasing the importance of compensatory official support."
"As a result of continued pressures in credit markets, global financial institutions and other holders could face larger potential writedowns, according to our estimates. Looking at the range of assets originated in the United States over the same cumulative period (2007–10) as in prior GFSRs, expected writedowns have risen to some $2.7 trillion, up from the $2.2 trillion estimated at our interim update in January 2009, and from the $1.4 trillion estimated in October 2008. The rise represents the credit deterioration that the worsening economic cycle is creating. Considering a much wider set of outstanding loans and securities to include European-originated loans and related securities as well as Japanese-originated assets (totaling some $58 trillion compared to earlier estimates based on $27 trillion of U.S. originated loans and securities) provides a broader, albeit more uncertain, assessment of potential writedowns of some $4.1 trillion. While banks are expected to bear about two-thirds of the writedowns, other financial institutions including pension funds and insurance companies also have significant credit exposures. Among other market participants, hedge funds have suffered losses related to both mark-to-market declines and forced asset liquidations due to redemptions."
http://www.astro.umd.edu/~miller/bh.gif
"The refinancing needs of emerging markets are large, estimated at some $1.8 trillion in 2009, with the bulk coming from corporates, including financial institutions. Though notoriously difficult to forecast, current estimates are that net private capital flows to emerging markets will be negative in 2009, and that inflows are not likely to return to their pre-crisis levels in the future. Already, emerging market economies that have relied on such flows are weakening, increasing the importance of compensatory official support."
Banks world wide will continue the write downs - everyone just put yer heads back in the sand - you are being raped.
The IMF totals of troubled financing are doubling each 6 months and adopting a global overview.
The nightmare is a li'l thing called amplification of each problem by its leverage. If a mean average was 28 then the sums at risk total $4 Tn x 28 leverage then the scale of global amplification runs to USD 112 TRILLION which will ruin a lot of executive breakfasts.
Credit is too expensive. In fact this unholy mess has now reached such proportion that it is time to apply the brakes............. oh dear, there aren't any. Well lets hope there is a good strong buffer at the end of the line. Oh oh!, h'm it was removed when the system automated! Hmmm................
Refinancing needs of emerging markets are large, estimated at some $1.8 trillion in 2009......... hmmm............... leverage that out of the World trade volumes. :eek:
Underlying assets are a dichotomy. The value (valuation) of underlying assets is a dichotomy. A traded derivative is not the underlying asset. The derived assets are a trust and not related to the underlying assets value. The two entities are dichotomous. http://en.wikipedia.org/wiki/Dichotomy
Because the >5% of the property market that is for SALE values the entire property market which is <95% not for sale, price movements for property on sale -amplifiy X20 through property value. The destruction of value is multiplied across the entire chain of proprty by 20 + times. In fact the accurate number will be somewhere in the range 27 to 33. It is very simple to see, understand and correct but then.................... how many of us run banks. If the true amplification is actually 54 to 60 times then we can all just kiss it goodbye - end of life as we know it! The devaluations are amplified. Massively.
mireland
04-22-2009, 08:38 AM
sarah palin.
herosrest
04-22-2009, 09:20 AM
Mireland, You need Paris Hilton holding your balls................